Analyst Warns of Another Trap Before Gold Price Bounce

An analyst who correctly predicted this week's gold sell-off warns that there may be one more trap before Friday's close.

The analyst claims that Thursday's sudden sell-off was a planned institutional move, designed to catch breakout buyers off guard and create liquidity for the bigger players.

Gold has been consolidating near its lower zone since yesterday's strong selling pressure, but the market remains in a medium-term downtrend, with sellers beginning to lose momentum.

The analyst expects gold to struggle if interest rates stay high or inflation eases, and predicts that it may break below yesterday's low around $4040 before the weekend.