Gold is trading around $4,394 after recovering strongly from the recent head formation near $4,310. Price is now testing the $4,395–$4,400 neckline area, while the right shoulder remains supported above the marked demand zone.
Gold continues to show a strong recovery structure after repeatedly finding buyers around the lower boundary of the recent trading range. Price has been making higher reactions from support, indicating that downside moves are being absorbed rather than developing into a confirmed bearish reversal.
XAU/USD is currently trading around the 4,366–4,370 area, sitting at an important decision point after a strong recovery from the recent liquidity sweep near the 4,300–4,320 zone.