Sellers dominate; 401x zone may trigger a bounce.

Gold remains under bearish pressure inside a well-defined descending channel after another wave of selling pushed price back toward the major support zone around 4010–4040.

The broader trend remains bearish, but the market is now approaching a significant liquidity area that previously generated strong buying reactions. As price extends further away from resistance and enters oversold territory, the probability of a short-term recovery continues to increase.

For now, the focus remains on whether buyers can defend the 401X support zone. A successful defense could trigger a corrective rally toward the nearest resistance levels before the next directional move develops.

📍 Key Levels:

🟦 4010 – 4040

Major support zone and current demand area.

🔴 4080 – 4100

First resistance zone and initial recovery target.

🔴 4120 – 4150

Key recovery objective and preferred sell zone.

🔴 4180 – 4200

Major bearish invalidation level.

☑️ Preferred Scenario:

✅ Price continues holding above 4010–4040.

✅ Buyers attempt to build a short-term base.

✅ Recovery extends toward 4080–4150 resistance.

✅ Sellers may return once price reaches higher supply zones.

❌ A breakdown below 4010 would invalidate the recovery idea and expose lower liquidity levels.

📊 Risk Management:

• Avoid selling directly into major support.

• Wait for confirmation before entering recovery trades.

• Focus on reaction around the 401X demand zone.