Gold Prices Struggle Below $4300 Amid Weak Rebound
The price of gold remains under bearish pressure after breaking below the 50-day SMA at $4,300. The daily chart shows that the price is still below the 10-, 50- and 200-day SMAs, indicating a downward trend. The recent rebound, which gained 1.63% on Tuesday, was weak and may not be enough to recover above $4,300. Unless this threshold is surpassed, the possibility of a continuation toward the $4,000 level remains high. The RSI also suggests further downside in the next few days.
The weekly chart for spot gold shows that the price is still facing resistance at $4,100, which has been a key support level. If the price fails to recover above this level, it could indicate a more significant decline in the coming days. The current market conditions, including high yields, may be limiting the rebound of gold prices.
While some investors may see this as an opportunity to buy gold at discounted prices, others may remain cautious due to the weak rebound and potential for further downside.