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Gold Spot / U.S. Dollar
Short
Updated

XAUUSD – When Buying Pressure Fades

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Gold attempted to break above a key resistance zone but quickly lost momentum, signaling that bullish strength is weakening. Meanwhile, strong U.S. economic data continues to support the dollar: the labor market remains robust and manufacturing activity is expanding — giving the Fed more reason to keep interest rates high for longer. This has put downward pressure on gold.

Currently, the market is approaching a critical support area. If this zone breaks, the bearish trend could accelerate further. Price structure no longer shows clear bullish momentum, and any pullbacks appear to be merely technical corrections.

Given this outlook, I favor a SELL setup if price breaks below support. The downside could expand significantly if buyers fail to return. Gold is now standing on the edge — either it holds the range, or a sharp drop may follow.
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