XAUUSD Breakdown from Rising Wedge – Bearish Setup with Target a

📌 Technical Overview:
The chart displays a well-defined rising wedge pattern that has been forming over an extended bullish move. A rising wedge is considered a bearish reversal pattern, especially when it occurs after a strong upward trend — as is the case here.

As the wedge progressed, the price made higher highs and higher lows, but the slope of the highs began to slow relative to the lows, indicating bullish exhaustion.

🔻 Breakdown Confirmation:
The wedge support line has been broken decisively to the downside, suggesting a shift in momentum from bullish to bearish.

This breakdown signals the potential beginning of a downtrend or a corrective phase.

The first bearish candle after the break offers a potential short entry confirmation.

🛡️ Trade Setup:
Entry: Below wedge support (confirmed breakdown candle)

Stop Loss: Above recent swing high at 3,350.259 USD (above wedge resistance)

Take Profit / Target: Measured move target near 3,262.860 USD, which is based on the height of the wedge projected downward from the breakout point

This provides a favorable risk-to-reward ratio, especially for short-term traders or scalpers.

⚠️ Risk Management Notes:
Always use proper position sizing and follow your trading plan.

Watch for fakeouts; ensure candle close outside the wedge to confirm the break.

Be mindful of macroeconomic events that can impact gold (XAUUSD), such as USD news, Fed statements, or geopolitical developments.

📊 Conclusion:
This is a textbook rising wedge breakdown offering a clean short opportunity with clearly defined risk and reward levels. The bearish structure suggests that gold may enter a short-term pullback or correction phase.

Traders watching XAUUSD should consider this a high-probability bearish setup provided the price action respects the pattern structure and continues to move lower