Bearish Structure Holding Strong – Pullback Before Next Leg DownGoldOANDA:XAUUSDcuriofxThe market is currently moving within a well-respected descending channel, clearly indicating a dominant bearish trend. Price action has consistently formed lower highs and lower lows, confirming that sellers remain in control. Recently, after a strong impulsive drop, the market entered a short-term consolidation phase near the mid-range, suggesting a temporary pause rather than a reversal. The current price behavior hints at a potential corrective pullback toward the upper boundary of the channel, which also aligns with a key supply zone. This area is significant because it combines dynamic resistance (trendline), horizontal resistance, and previous imbalance, making it a high-probability rejection zone. If price reaches this region and shows weakness, it could attract fresh selling pressure. From a smart money perspective, this pullback may serve as a liquidity grab, where the market taps into resting buy-side liquidity before continuing its primary bearish move. A rejection from this zone would likely push the price back down toward the first target around 4,670, which acts as a near-term support level. If bearish momentum remains strong and this level fails to hold, the market could extend further downward toward the next major target near 4,600, aligning with the lower boundary of the channel. This would complete the continuation pattern within the bearish structure. However, it's important to consider the invalidation scenario. A strong and sustained breakout above the channel and supply zone would indicate a potential shift in market structure, weakening the bearish bias and opening the door for a deeper bullish correction. Overall, the market remains bearish unless proven otherwise, and the current setup favors selling from higher levels rather than buying into temporary strength.