Choppy Gold Action Hides a Bigger Drop on Weekly Chart?

After Monday’s correction, Gold continued lower – but the drop has been extremely choppy, making swing trading nearly impossible in this environment.

🔄 Short-term vs. Weekly Picture

On the 1H chart, price action is messy and directionless. However, the weekly chart tells a clearer story – which is not bullish at this moment.

❗Let’s not rush into the “new ATH” narrative

Last week, I pointed out around the 3360 zone that we may get a rise above 3400. That move happened – but it seems more driven by Middle East tensions than by any structural strength in Gold itself.

📉 Why I’m leaning bearish on higher timeframes at this moment:
• This week’s price action almost fully negates last week’s strong green candle
• A close near the bottom of the range could form a Dark Cloud Cover pattern – a strong bearish signal
• Unless we see a reversal above 3400, downside remains the higher probability

📌 Next Target?
If the weekly close confirms this bearish setup, a drop to 3150 is not only possible – it’s becoming likely.

Disclosure: I am part of TradeNation's Influencer program and receive a monthly fee for using their TradingView charts in my analyses and educational articles.