XAUUSD: Bearish Elliott Wave Points Towards Fibonacci TargetsGoldOANDA:XAUUSDKelly_Koou_Gold Gold is moving under renewed downside pressure after failing to hold the recovery structure above the 4,100 area. From Kelly’s view, the current chart suggests that a bearish Elliott wave sequence is developing, and price may continue lower if the sell zone remains defended. The key idea is simple: gold is still weak below resistance, and the next downside targets are now guided by the Fibonacci structure. ⟡ Market structure The chart shows gold rejected from the upper recovery area and started forming lower highs again. Price is now trading near 4,055, directly under the sell wave 5 zone, which makes this area very important for the next reaction. The nearest resistance sits around 4,055–4,060. If gold cannot reclaim this zone with strength, sellers may continue to control the short-term structure. Below current price, the chart highlights the 4,015–4,025 area as the next wave 4 reaction zone. If that support fails, the larger Elliott Wave End area around 3,950–3,960 becomes the main downside target. ➤ Key levels ◌ 4,055–4,060: sell wave 5 zone and current resistance ◌ 4,015–4,025: buy zone wave 4 / first downside reaction area ◌ 3,950–3,960: Elliott Wave End and Fibonacci 2.618 target zone ◌ 4,090–4,105: upper resistance if price rebounds ◌ Above 4,105: area where the bearish wave count weakens ⌁ Elliott Wave view From an Elliott Wave perspective, gold appears to be building a bearish 5-wave structure after completing the previous corrective rebound. Wave 1 created the first downside move from the recent high. Wave 2 corrected upward but failed to continue higher. Wave 3 pushed price lower with stronger momentum. Wave 4 may form around 4,015–4,025 as a temporary reaction. If the sell wave 5 zone continues to hold, wave 5 may extend towards the Fibonacci 2.618 target near 3,950–3,960. This is why Kelly would treat the current rebound carefully. As long as price remains below resistance, the structure still favours a continuation lower. ▸ Trading scenario Preferred scenario: wait for price to reject from the 4,055–4,060 sell zone before expecting downside continuation. Sell zone: 4,055–4,060 if bearish confirmation appears Stop loss: above 4,105 or above the confirmed rejection high Take profit 1: 4,015–4,025 Take profit 2: 3,980 Take profit 3: 3,950–3,960 Alternative scenario: if gold breaks above 4,105 and holds with strong acceptance, the bearish Elliott setup weakens. In that case, price may need to rebuild a new structure before the next direction becomes clearer. ⌁ Kelly’s view For Kelly, this is still a bearish Elliott structure. Gold has not shown enough strength to confirm a bullish reversal, and the market is now reacting under an important sell zone. The cleanest plan is to follow the Fibonacci roadmap and wait for confirmation from resistance. Gold remains under pressure. If the sell zone holds, the next bearish wave may continue towards the Fibonacci targets below. Share your view below.