Gold Holds Key Support at $4,298 Amid Hawkish Fed Rhetoric

The Federal Reserve's decision to raise interest rates by a quarter point has had a ripple effect on gold prices, causing them to fall below their 50-day moving average.

Despite this short-term setback, technical analysis suggests that gold remains in a mid- to long-term bullish trend, calling for higher prices from here.

The key level to watch is $4,298, which coincides with the 61.8% Fibonacci retracement level after the summer rally from $4,015 to $4,755.

As long as gold can hold this level on a closing basis, it would confirm the pattern and point towards higher prices, potentially retesting the $4,755 summer top.