Gold Price Under Pressure as China's Influence Fades

The gold price is under pressure, trading at $4,394 as it sits below key moving averages. Despite increased purchases from China, which are altering global physical market dynamics, overall demand remains under selling pressure.

China's influence on global gold demand has grown stronger, with analysts noting that the country's increased gold purchases have affected the demand landscape. However, this shift in physical demand drivers has not been enough to counteract the broader selling pressure.

The technical analysis suggests that momentum indicators are negative, with multiple indicators pointing to ongoing selling pressure and trend strength. The Ichimoku Kijun at $4,441 sets immediate resistance, but the probability of an upward move from here is low, while downside risk remains pronounced.