Gold holds at $3,340; eyes on US inflation.

📉 Gold Price Forecast | XAU/USD Reversal Finds Support at $3,340

Gold (XAU/USD) has pulled back from the $3,400 zone and found solid support between $3,335 and $3,345—an area that aligns with the 50% Fibonacci retracement of the early August rally and previous price action from August 4 and 5.

During Tuesday’s European session, the pair is trading sideways with no clear directional bias, as investors await the release of U.S. inflation data (CPI). The U.S. Dollar Index is consolidating recent gains, and cautious sentiment is keeping gold from further declines.

🔍 Technical Overview
Gold confirmed a trend reversal on Monday after breaking below the wedge pattern at $3,390. The price reached the measured target of $3,345 and is now consolidating, awaiting a fundamental catalyst.

Indicators remain bearish. A break below $3,335 could expose the $3,305–$3,315 zone (July 29 low and July 31 high), followed by the August 1 low at $3,282.

On the upside, resistance lies at $3,380 (August 8 low), followed by the $3,400–$3,410 zone, where August 7 and 10 highs intersect with the descending trendline. A breakout above $3,440 would invalidate the bearish outlook.