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Gold Spot/US Dollar faces rejection at 0.618 Arc – Potential decline toward 4,366

Gold Spot/US Dollar (XAU/USD): Arc cycle analysis

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Overview: Based on Arc Cycle Analysis applied to the 1h chart, Gold Spot / U.S. Dollar is interacting with the 0.618 Resistance Arc within the current Arc Cycle. Bullish momentum has faded near this boundary, indicating that the upper Arc continues to cap upside expansion.

Chart

Market outlook

The 0.618 Arc continues to act as a resistance boundary, capping upside expansion. Bullish attempts have stalled beneath the Resistance Arc, indicating that the resistance remains intact.

If the Resistance Arc holds firm, a decline toward 4,366 becomes the primary scenario. Conversely, a sustained 1h close above 4,410 would invalidate the bearish scenario, opening the path toward the next Resistance Arc at the 0.786 Arc level.

Author

Mohamad Gharib

Mohamad Gharib

Independent Analyst

Mohamad Gharib is a Financial Markets Analyst and Quantitative Researcher with more than 18 years of experience in financial markets, including 15 years as an FX Quant Trader.

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