Gold (XAU/USD) could have completed a wave 4 (blue) pattern at the most recent low. But price action will need to stay above the bottom to confirm the end of the correction.
Will the uptrend continue? Let’s review the chart patterns to answer this question.
The bullish push is indicating a potential reversal. The impulsive price swing looks strong and suggests that the old uptrend has returned.
However, before the uptrend is back, a bearish break below support (green) seems imminent. Especially because the moving averages are bearishly aligned.
On the 1 hour chart, price action seems to be building an ABC (grey) zigzag pattern:
A bearish breakout could confirm the wave C (grey). But price action must stay above the bottom and 100% Fibonacci to preserve the uptrend.