Overall Trend: The broader short-term trend remains bearish, with prices still trading below the 4220–4230 zone, keeping selling pressure in place.
Any current upward moves are considered corrective rebounds within the broader bearish trend unless the 4220–4230 zone is clearly broken and price closes above it.
On the other hand, holding above the 4120–4130 zone may support further short-term upside correction.
Momentum: Short-term momentum has shown a clear improvement following the latest strong upward move, while the broader trend remains bearish.
Bullish momentum may continue as long as prices hold above key support zones. However, confirmation of a broader trend reversal requires a clear breakout and close above major resistance zones, while remaining cautious of potential false breakouts.
Potential Support and Buying Zones: 4146–4139 4131–4125 4114–4107 4099–4094
A clear break and close below 4099 could restore selling pressure and open the way toward: 4087 → 4065 → 4043
Potential Resistance and Selling Zones: 4201–4207 4212–4219 4227–4235 4246–4253 4261–4266
A clear breakout and close above 4266 would strengthen the possibility of an extended corrective rebound toward: 4283 → 4302 → 4317
KEY LEVEL 4120–4130
Holding above this zone: Supports the continuation of the upward correction toward higher levels, while the broader bearish bias remains intact below the major resistance zones.
A break and clear close below this zone: Supports the possibility of further downside toward the next support levels.
Market Factors: Markets are awaiting the preliminary University of Michigan Consumer Sentiment Index, inflation expectations, and comments from Federal Reserve member Susan Collins. Gold is currently benefiting from a weaker US dollar and easing Treasury yields, while interest rate expectations and energy-related inflation risks remain potential sources of volatility. Consumer sentiment data and inflation expectations may influence the dollar and Treasury yields, ultimately determining whether gold can extend its upward correction.
Disclaimer: Avoid entering trades without clear confirmation signals. Always adhere to proper capital management, stop-loss placement, and risk management.