FundamentalOverview

Gold continues to pull backfrom the highs reached after the first Israel attack against Iran. The marketkind of sensed that a de-escalation was the most likely outcome and the safehaven flows reversed.

This week it’s been allabout the Middle East because we haven’t got any key data point and the Fedkept everything unchanged as expected. Therefore, we remain in a mostlyrangebound price action.

In the bigger picturethough, gold remains in an uptrend as real yields will likely continue to fallamid Fed easing and just a hawkish repricing in rate cuts expectations could triggercorrections in the short term.

GoldTechnical Analysis – Daily Timeframe

On the daily chart, we cansee that gold continues to edge lower from the key 3438 level towards the majortrendline. From a risk managementperspective, the buyers will have a much better risk to reward setup around thetrendline to position for a rally into a new all-time high. The sellers, on theother hand, will want to see the price breaking lower to increase the bearishbets into the 3120 level next.

Gold Technical Analysis– 4 hour Timeframe

On the 4 hour chart, we cansee that the price broke below the minor upward trendline. This should be asignal for more downside to come with the 3293 level as the first target forthe sellers. That’s where we can expect the dip-buyers to step in with adefined risk below the level to position for a rally into new highs. Thesellers, on the other hand, will look for a break lower to increase the bearishbets into the major trendline.

Gold Technical Analysis– 1 hour Timeframe

On the 1 hour chart, we cansee that we have now a minor downward trendline defining the bearish momentumon this timeframe. The sellers will likely continue to lean on the trendline tokeep pushing into new lows, while the buyers will look for a break higher tostart targeting again the 3438 level. The red lines define the average daily range for today.