Dollar Weakness Puts Gold Under Pressure OANDA:XAUUSD By LA_Trader_Fx — TradingView

Gold – Stronger dollar weighs on gold prices

With XAU/USD trading around 5032, gold remains under pressure and is headed for a weekly loss of over 2%.

The broader macro picture is clearly weighing on gold:

DXY index rises to 100.43

The U.S. 10-year Treasury bond yield remained near 4.29%.

Core inflation held steady at 3.1% annually

Although U.S. fourth-quarter GDP was revised to 0.7%, inflationary pressures remain strong, making the market cautious about the Federal Reserve easing monetary policy.

This combination is important.

Slow growth should generally help gold, but when inflation remains stable and yields continue to rise, the market favors the dollar. This is exactly why gold has struggled to sustain its recovery attempts.

Technical structure (H6)

From a technical perspective, gold is currently in a weak structure after breaking out of upside territory and failing to reclaim higher resistance.

This chart gives a clear message:

Price remains trapped below the 5140 resistance area

Looking at recent top turning points, the market is in a bearish structure

The first important support is located near 4910

Below, the next lower level opens to 4553 or 4124

The chart no longer looks like a clean upward continuation.
In this chart, support is being tested while resistance remains firmly in control.

As long as the price remains below 5140, the rise should be viewed as a pullback rather than a bullish reversal.

Main price area
sales area

5140

This is the main overhead resistance.

compatible:

Current sell area on the chart

trend line interaction

previously rejected structure

If gold fails to regain this area, sellers will still be in control of the short-term trend.

Main support

4910

This is the first major reaction area below current prices.

If prices continue to weaken, then buyers may try to react. But if support is clearly broken, the bearish structure will open further.

Secondary support

4553

This is the next important bearish liquidity area.

A break below 4910 may draw attention to this level as the next major target.

great mental zone

4124

This is the deepest structural support and strongest bearish level to appear on the chart.

If gold prices reach this area, the market will enter a broader correction phase rather than a normal decline.

market scene
Scenario 1 – Falling below 5140 points and continuing lower

This is still the main scene.

If gold prices remain below 5140, the market may continue to rotate towards 4910.

Reasons to support this view:

The dollar remains strong

Yields continue to remain high

Price fails to regain resistance

The current structure still allows sellers to feel comfortable in the assembly

If momentum tests and breaks above 4910, the next downward channel will open towards 4553.

This is a cleaner bearish continuation, while gold remains under overall pressure.

Scenario 2 – Bounce from 4910 and retest 5140

If the price falls to 4910 and buyers defend this area appropriately, gold could stage a relief rally.

In this case, the market may turn to:

5030

Then 5140

But unless prices can break and hold above 5140, this rally should be viewed as a pullback.

So yes, the 4910 may react.
But reactions alone don’t reflect trends.

Scenario 3 – Deeper breakout of 4553 and 4124

If 4910 clearly fails, the market may accelerate towards 4553.

This level becomes the next structural target on the downside and the next important area where stronger demand is likely to emerge.

If gold fails to stabilize at this level, a broader correction could extend to 4124, the deepest and most psychologically important area on the chart.

Such a scenario would turn current weakness into a more severe downturn in the medium term.

Market vision

The current macro environment for gold trading is inherently not conducive to a strong rebound.

Stable inflation, higher yields and a stronger U.S. dollar are all working against gold. That doesn’t mean gold can’t rebound, but it does mean that every recovery will require stronger confirmation than usual.

From a technical perspective, the structure is simple:

Below 5140, downward pressure still exists

At 4910 points, the market faces its first real support test

The chart below opens wider

Now is not the time to prematurely assert bullish conviction.
Now is the time to respect the structure, follow the resistance, and let the market validate when the pressure truly eases.

Watch for XAUUSD’s structured analysis, liquidity-based trading scenarios, and clearer direction in the gold market.