Gold Breaks Below 4,010 Support: Sellers Now Control XAUUSD

Gold has broken below its rising trendline and lost the 4,010–4,028 support zone, handing short-term control to sellers. The move ends a rally that carried XAUUSD from 3,875 to 4,144.019, according to chart analysis published by TradingView analyst ElianTradePath.

The breakdown marks a structural shift. Gold had been printing higher highs and higher lows on its climb. Repeated failures near previous highs weakened buying momentum until the trendline gave way. Price now trades near 3,974.040 on the referenced chart.

"The previous bullish structure is no longer intact, and any recovery needs stronger confirmation," ElianTradePath wrote in the analysis.

What did the rally look like before the break?

The numbers frame the reversal. Gold advanced roughly 269 dollars from the 3,875 low to the 4,144.019 high. That sequence built the bullish structure — each dip found a higher floor, each push set a higher ceiling.

The pattern broke in stages. First, buyers repeatedly failed to clear previous highs. Momentum faded with each attempt. Then price sliced through the rising trendline. Finally, gold closed below the 4,010–4,028 support zone, which had underpinned the advance.

Where could sellers push the price next?

The lost support now works as a ceiling. The 4,010–4,028 zone is the first key resistance area, per the analysis. If gold fails to reclaim it, another lower high could form — a signature of a downtrend in progress.

The analyst maps two downside targets:

• 3,938–3,954: the first demand zone. Continued selling could push price into this band.
• 3,880–3,896: a deeper major demand zone. A confirmed break below 3,938–3,954, followed by a failed retest, would expose this level.

ElianTradePath cautions that these are potential targets, not guaranteed outcomes. Price structure, not prediction, drives the read.

Can buyers rebuild the recovery?

Demand zones give bulls a path back. The 3,938–3,954 area could trigger a corrective rebound on first contact. But a rebound alone settles nothing.

"A rebound alone does not confirm that the bearish phase has ended," the analysis states.

For a genuine reversal, gold must clear two hurdles. First, price needs to form a higher low — a floor above the prior floor. Second, it must break above the latest significant lower high. A sustained move above 4,010–4,028, followed by a successful retest, would provide stronger evidence that buyers are regaining control.

If the first demand zone fails to hold, the 3,880–3,896 area becomes the next key region to watch for a potential reversal. That band sits near the origin of the original rally at 3,875, which gives it added technical weight.

What is driving the pressure?

The macro backdrop works against gold. Stronger-than-expected US inflation and expectations of further Federal Reserve tightening support the US dollar, and a firmer dollar typically weighs on bullion.

The upcoming US Producer Price Index report could add fuel. ElianTradePath flags it as a potential volatility trigger around the key support levels, since inflation data directly shapes tightening expectations.

Still, the analyst keeps the framework disciplined. Price structure remains the main technical guide. The breakdown signals weakness; the next higher low will show whether buyers can challenge the bearish trend.

The immediate question for traders: can gold recover from the demand zones, or will sellers push price toward the deeper support at 3,880–3,896? The answer hinges on whether bulls first reclaim 4,010–4,028 — until then, the sellers own the short term.