Under pressure, continuing lower to probe new lows! 4150 support is under threat, with 4120 in sight!
Gold rallied to around 4216 late yesterday before meeting resistance and pulling back. The bearish momentum continued into today’s Asian session, with prices fluctuating lower and touching the key support level of 4154 at their intraday low before staging a narrow technical rebound. Gold is currently trading around 4172. Overall, the market is showing a weak pattern of “resistance at higher levels and progressively lower lows.” Selling pressure from bears continues to build intraday, and the balance of power has shifted decisively in their favor. The 4150 area is the bulls’ key near-term defense; a decisive break below it would open the door to further declines.
Bearish technical signals remain dominant: On the daily chart, the TRIX trend indicator continues to diverge downward following a death cross, while the MACD lines have crossed below one another above the zero line and are moving lower. The green momentum bars are steadily growing, indicating that bearish momentum has yet to fully run its course and that any rebound is likely to face significant pressure. On the four-hour chart, after breaking below the Bollinger Bands’ middle line, prices have weakened while tracking the lower band. Short-term moving averages are aligned bearishly, adding to the downward pressure. Although some oversold buying support may emerge near 4150 and a short-term corrective rebound is possible, it is expected to be limited and unlikely to reverse the near-term downtrend.
Conservative strategy: Sell on rebounds into the 4190–4205 and 4255–4270 zones, targeting 4160–4140. If prices break below this range, look for further downside.
Gold rallied to around 4216 late yesterday before meeting resistance and pulling back. The bearish momentum continued into today’s Asian session, with prices fluctuating lower and touching the key support level of 4154 at their intraday low before staging a narrow technical rebound. Gold is currently trading around 4172. Overall, the market is showing a weak pattern of “resistance at higher levels and progressively lower lows.” Selling pressure from bears continues to build intraday, and the balance of power has shifted decisively in their favor. The 4150 area is the bulls’ key near-term defense; a decisive break below it would open the door to further declines.
Bearish technical signals remain dominant: On the daily chart, the TRIX trend indicator continues to diverge downward following a death cross, while the MACD lines have crossed below one another above the zero line and are moving lower. The green momentum bars are steadily growing, indicating that bearish momentum has yet to fully run its course and that any rebound is likely to face significant pressure. On the four-hour chart, after breaking below the Bollinger Bands’ middle line, prices have weakened while tracking the lower band. Short-term moving averages are aligned bearishly, adding to the downward pressure. Although some oversold buying support may emerge near 4150 and a short-term corrective rebound is possible, it is expected to be limited and unlikely to reverse the near-term downtrend.
Conservative strategy: Sell on rebounds into the 4190–4205 and 4255–4270 zones, targeting 4160–4140. If prices break below this range, look for further downside.