Gold (XAU/USD) is showing signs of a potential bullish reversal after successfully defending a major support zone on the 1-hour timeframe. Price has reacted strongly from demand, indicating that buyers are stepping back into the market and attempting to regain control. Despite the recent bearish correction, the overall structure suggests that bullish momentum is beginning to build once again.

The previous downtrend appears to be losing strength as price forms higher lows around the support area. This is a positive signal that selling pressure may be fading, while buyers continue to absorb supply at lower levels. If this structure remains intact, the probability of an upward move toward the next resistance zone increases significantly.

The first key obstacle lies around the nearby resistance area near 4,060–4,080, where short-term sellers may attempt to slow the rally. A successful breakout above this level could open the path toward the major resistance zone around 4,110–4,120, which previously acted as a strong rejection point. A decisive close above this resistance would confirm stronger bullish momentum and could trigger a continuation toward even higher prices.

On the downside, the highlighted support zone remains the most important level to monitor. As long as price continues to trade above this demand area, the bullish outlook remains valid. However, if sellers manage to push the market below support with strong volume, the bullish scenario would weaken, increasing the possibility of another corrective move.

📊 Trading Plan
✅ Bias: Bullish
🟢 Wait for bullish confirmation from the support zone before entering.
🎯 Target 1: 4,060
🎯 Target 2: 4,080
🎯 Target 3: 4,110–4,120
❌ A break below the highlighted support zone would invalidate this bullish setup.
⚠️ Risk Management

Always wait for candle confirmation before entering a trade. Avoid chasing the market after large bullish candles, and never risk more than 1–2% of your account on a single position. Keep an eye on high-impact USD news events, as they can significantly increase volatility in Gold.

💬 What do you think? Will Gold break above resistance and continue its bullish rally, or will sellers defend the resistance zone once again? Share your analysis below, and don't forget to 👍 Like, 🚀 Boost, and 💬 Comment if you found this analysis helpful!