Gold Price Setup: Bullish Continuation or Rejection?

🧠 Chart Analysis (XAU/USD – 1H):
Key Structure Highlights:

CHoCH (Change of Character) zones marked both up and down indicate a battle between bulls and bears.

Recent bullish CHoCH followed by a fair value gap (FVG) retest suggests potential continuation to the upside.

Price recently bounced strongly from demand zone, shown by the green arrows and strong candle reaction.

Ichimoku Cloud:

Price is trying to break back above the Kumo (cloud), a sign of bullish momentum building.

However, resistance is still present with the Kijun and Tenkan lines converging.

FVG (Fair Value Gap):

The current price is attempting to fill and break above the FVG zone.

A successful breakout above this area confirms bullish intention.

Fibonacci Levels:

Price is hovering around the 0.5 - 0.618 retracement zone, often a strong reversal or continuation point.

Upside targets lie near the 0.786 retracement (3352) and ultimate target at 3391, a major resistance level.

Risk Management:

Trade setup shows an excellent Risk:Reward ratio.

Stop-loss placed just below the last structure low.

Potential downside to 3290–3258 if breakout fails.

🟢 Possible Next Move:
Bullish Scenario: If price clears the FVG and breaks above 3353, expect continuation to 3391.

Bearish Rejection: If rejected at FVG/0.618 level, watch for a drop back to 3290 or even 3259.