XAU/USD Analysis: Bullish Breakout Eyes Premium Supply Zone
Gold (XAU/USD) on the 2H timeframe is maintaining a bullish market structure after respecting a rising trendline and printing higher lows. Price is attempting to break above the recent consolidation, suggesting buyers remain in control.
Bullish Scenario
Price is trading above the ascending trendline, confirming short-term bullish momentum.
A Break of Structure (BOS) has formed, indicating continuation toward higher liquidity.
The first major objective is the 4,143 resistance/supply zone (green zone).
If buyers achieve a decisive breakout and close above 4,143, the next liquidity target lies around 4,189, where a previous strong high and sell-side liquidity are located.
Key Levels
Current Resistance: 4,143
Final Bullish Target: 4,189
Immediate Support: 4,062
Major Demand Zone: 4,020–4,000
Invalidation: A sustained break below the ascending trendline and 4,020 would weaken the bullish outlook and expose lower demand.
Trading Plan
✅ Buy Entry: On a confirmed breakout above 4,090–4,100 or a pullback that holds above the trendline.
🎯 Target 1: 4,143
🎯 Target 2: 4,189
🛑 Stop Loss: Below 4,020 or beneath the latest higher low.
Conclusion
The overall structure remains bullish as long as price stays above the ascending trendline and key demand zone. A clean breakout above 4,143 could trigger the next impulsive move toward 4,189, making this a high-probability continuation setup. Traders should watch for strong bullish confirmation before entering.
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