Gold is currently trading under short-term bearish pressure after failing to break above the descending trendline and nearby resistance. The rejection from the upper supply region suggests that sellers are still actively defending higher prices.

The chart structure shows repeated lower highs, while the descending trendline continues to cap bullish attempts. This keeps the bearish bias valid unless price can reclaim the resistance area and establish a strong 2H close above it.

The Fibonacci retracement also provides an important confluence area. Price is currently reacting around the mid-to-lower Fibonacci levels, making the 4,020–4,000 demand zone an important area for buyers to defend.

🔴 Bearish Scenario

If price continues to reject resistance and breaks below the nearby support structure, sellers could target the demand zone around 4,020–4,000. A confirmed breakdown of that zone would increase the probability of deeper downside.

🟢 Bullish Scenario

If buyers defend demand and price forms a strong bullish reversal, the first confirmation would be a reclaim of nearby resistance followed by a breakout of the descending trendline. A sustained move above the major supply zone would invalidate the immediate bearish setup.