My technical outlook on XAUUSD (1H) based on the current chart structure
Hello traders!
Price previously peaked and started a clear decline, forming a descending structure under the Trend Line. After that, XAUUSD tested the Seller Zone multiple times, where sellers consistently rejected the upside and pushed price lower toward support.
Currently, price is trading below the 4,320 Seller Zone while holding above the 4,240 Buyer Zone. The recent rejection from resistance combined with the descending Trend Line suggests a possible continuation to the downside.
As long as XAUUSD remains below 4,320 and respects the descending Trend Line, the bearish scenario stays valid. A further move lower could push price toward the 4,200 level (TP1).
However, a breakout and close above 4,320 would weaken the bearish outlook and open the door for further upside.
Stay disciplined and manage risk properly.
