Gold Breakout Potential: Descending Wedge Signals Bullish Revers

Analysis:
The XAU/USD (Gold vs. USD) chart on the 45-minute timeframe shows price action forming a descending wedge pattern, a typically bullish reversal formation. The price has been compressing between lower highs and lower lows but is now testing the upper trendline resistance, indicating a possible breakout.

Key observations:

Trendline Breakout Zone: The narrowing wedge suggests weakening bearish momentum. A confirmed breakout above the trendline could trigger strong upward momentum.

Targets: The projected upside targets are around 4,300, 4,400, and 4,500, aligning with previous resistance zones.

Support Zone: Immediate support remains near 4,050–4,000, where the lower wedge boundary provides buying interest.

Momentum Indicator: Gradual bullish recovery and decreasing downside pressure indicate renewed buyer strength.