XAU/EUR fades 3665 resistance as downtrend reasserts control

Gold in euro terms is grinding against a familiar resistance shelf just as the dominant downtrend reasserts itself, and the tape is not giving the bulls much to work with.

XAU/EUR added 1.17% on the session and traded a wide 3610.03 to 3680.29 range intraday, but that daily gain is noise against the weekly drift of roughly 1.65% lower. Price is back inside prior breakdown territory, and the key levels broken over the past week — including 3754.22 and 3760.97 — are now well above, confirming the supply overhang.

The setup favours continuation lower. Price is capped below EMA20 at 3665.31 and EMA50 at 3690.45, with EMA200 at 3837.20 a distant ceiling. The 4H and daily trend are both pointed down while the 1H remains mixed — a classic short-side structure where near-term noise fades into the dominant flow. RSI sits in neutral territory, leaving momentum room to extend lower before any oversold signal develops. Volatility is elevated, consistent with a trending regime rather than a range-bound one, and trend alignment remains mixed rather than clean, which argues for measured entries rather than aggressive sizing.

We lean short and sell into the 3665–3666 supply zone. First support sits at 3607.19; a clean break there opens 3490.86 next. A 4H close above EMA50 at 3690.45 invalidates the bearish thesis.