Saad Ullah
⬤ Gold remains under significant selling pressure as a bearish Elliott Wave structure continues to develop. According to Elliottwave Forecast, the current wave count points to ongoing weakness, with price action still unfolding within a broader corrective decline. A completed impulsive move lower has been followed by a complex correction, and the overall trend has not yet reversed.
⬤ The Elliott Wave structure shows a clear five-wave decline labeled 1 through 5, followed by a W-X-Y corrective sequence. After this correction, gold resumed its drop, breaking below recent consolidation and accelerating toward the $4,800 area. A key support zone sits between gold holding above $4,000 during trendline retests at $4,814 and $4,551, where a temporary recovery could begin.
⬤ Within the highlighted support zone, the forecast anticipates a three-wave ABC corrective bounce. However, the bigger picture stays bearish, with the invalidation level near $5,241. As seen in recent coverage of gold stabilizing near the $4,050 demand zone, recovery phases can emerge from strong support areas before the trend resumes.
⬤ Any near-term bounce is expected to be corrective rather than a true reversal. Broader commodity trends reflect similar cyclical patterns, as highlighted in recent analysis of gold maintaining structure near key zones around $5,000 amid consolidation. Until the $5,241 level is reclaimed, downside pressure is likely to resume after any temporary rebound.
Saad Ullah
