#XAUUSD Gold is coiling inside a descending channel, and bulls may be preparing for the next big leg up.
After peaking near $4,700 last week, XAUUSD pulled back and is now consolidating around $4,604. The chart shows a clear Elliott Wave structure forming.
Key zones from the analysis:
Buy FVG: $4,590 - $4,600. This fair value gap is the first demand area if price dips
Buy Zone Wave 5: $4,620 - $4,630. Marked as the ideal spot to load for the next move
Fibonacci-FVG Resistance: $4,650 - $4,660. This is the 1.618 fib level and where sellers may step in for wave 3
Target Wave 5: $4,710. The 2.618 fib extension is the final projected target
What the chart is saying:
Price broke down from the channel but found buyers near $4,570. The red wave count shows a completed wave 1-2, and both the red + blue projections point toward a strong wave 3 up toward $4,650, followed by wave 5 toward $4,710.
As long as Gold holds above $4,590 support, the bullish structure remains intact. A break and close above $4,660 would confirm wave 3 is underway.
Next few sessions will be critical. Hold $4,600 and Gold could be heading for new highs into September.
Not financial advice. Always use stop loss and trade at your own risk.
