The US dollar index is consolidating at high levels, maintaining its strong position and exerting continuous downward pressure on gold prices, diverting funds and limiting the upside potential.
MACD (12,26,9): On the 1-hour chart, the upward momentum is slightly increasing, with the two lines crossing the zero line and opening upwards, indicating strong short-term rebound momentum. However, the larger charts remain bearish, limiting the rebound’s strength.
Trend Assessment: Currently, gold is in a weak rebound from low levels. It’s advisable to wait for a rebound and then sell at resistance levels. Going long requires caution.
The 1-hour gold chart shows the current price is in a rebound phase, with strong short-term resistance around 4600, which is highly likely to be a short-term high. The key support level is around 4315; a break below 4315 would open up further downside potential, with a target of 4280-4250. The 1-hour MACD histogram shows a slight increase in bullish momentum, with the MACD lines crossing upwards, indicating a short-term need for upward correction. However, the overall downtrend remains unchanged, and any rebounds should be used as opportunities to sell.
Trading Strategy: Sell at resistance!
SELL: 4600near, SL: 4620, TP: 4560-4540;
Wait for a break below 4315 and then sell following the trend!
SELL: 4315near, SL: 4340, TP: 4260-4230;