Gold (XAU/USD) recovered slightly from the weekly low reached earlier on Friday, but its upward potential remains limited amid prevailing bearish sentiment.

From a technical perspective, repeated failures to consolidate above the 200-day Exponential Moving Average (EMA) throughout the week, followed by a subsequent decline in prices, indicate continued seller dominance.

Additional downward pressure is confirmed by the Relative Strength Index (RSI), which remains near the 30 level, reflecting weak demand without clear signs of oversold conditions. At the same time, the MACD remains in negative territory: its line is positioned at the signal line, while the histogram shows subdued momentum, indicating that bearish pressure remains in place.

The 200-day EMA at $4,368 serves as the nearest significant resistance level. To weaken the current downtrend and establish a more sustainable recovery, bulls need to secure a daily close above this level. Until then, XAU/USD remains vulnerable to further declines, with any additional selling pressure likely to be driven by bearish momentum rather than by tests of specific technical levels on the daily chart.