XAU/EUR loses 3665 as aligned downtrend deepens

Gold priced in euros has broken down comprehensively, and the tape leaves no room for the prior bullish argument.

XAU/EUR is off 0.44% on the day, printing a session low of 3650.12 against a high of 3676.54. That intraday range tells the story neatly: any attempted bid was sold into with offers sitting right at the 3665.87 resistance shelf. The pair has now broken through a succession of prior key levels that the prior week had treated as support — 3754.22 and 3760.97 among them — and the structure has fully inverted.

The setup is clean from a trend-following perspective. Price trades beneath EMA20 at 3705.18 and EMA50 at 3711.24, with EMA200 at 3848.97 acting as a distant ceiling rather than meaningful support. Trend is aligned down across the 1H, 4H and 1D timeframes, the cleanest configuration for momentum continuation. RSI is drifting toward oversold territory without yet being pinned there, meaning there is room for further downside before mean-reversion risk becomes a concern. Volatility is elevated, which historically accelerates trending moves rather than reverting them. The sole structural support below sits at 3490.86.

We sell rallies into the 3665–3705 zone and look for a test of 3490.86. A daily close above EMA50 at 3711.24 invalidates the bearish thesis and forces a full stand-down.