Overall Trend: The broader short-term trend remains bearish, with prices still trading below the 4200–4210 zone, keeping selling pressure in place.
Any current upward moves are considered corrective rebounds within the broader bearish trend unless the 4200–4210 zone is broken and price closes clearly above it.
On the other hand, holding above the 4125–4115 zone may support further short-term upside correction.
Momentum: Gold has shown a clear improvement in short-term bullish momentum following the strong rebound from the 4067 low. However, the price has started to retreat after testing the 4200–4210 zone.
The broader trend remains bearish as long as prices trade below the major resistance zones. Continued downside correction may lead to a retest of nearby support levels, while a breakout and clear close above 4210 could support further upside correction toward the next resistance levels.
Potential Support and Buying Zones: 4149–4142 4137–4130 4123–4114 4103–4096
A clear break and close below 4115 could restore selling pressure and open the way toward: 4104 → 4087 → 4066
Potential Resistance and Selling Zones: 4204–4211 4222–4230 4241–4248 4257–4265
A clear breakout and close above 4265 would strengthen the possibility of an extended corrective rebound toward: 4284 → 4302 → 4317
KEY LEVEL 4125–4115
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 watching comments from several Federal Reserve officials, alongside US small business optimism, weekly employment data, and existing home sales. Gold is benefiting from lower oil prices, while the strength of the US dollar and interest rate expectations remain important factors influencing its movement. Investors are turning their attention to the US Consumer Price Index (CPI) due on Wednesday, followed by the Producer Price Index (PPI) on Thursday, as both reports could influence monetary policy expectations, the US dollar, and Treasury yields. Additional volatility may occur as economic data and Fed commentary are released.
Disclaimer: Avoid entering trades without clear confirmation signals. Always adhere to proper capital management, stop-loss placement, and risk management.