Gold Stalls Amid Oil Price Risks and Inflation Data

Gold prices have been unable to rally despite softer inflation data, as oil price risks continue to weigh on sentiment. Spot gold touched the 200-day moving average at $4503.19 but was unable to hold the move.

The potential resistance level of $4481.78 is significant because it represents a 20% drop from the all-time high, which some chart-watchers consider the starting point of the bear market.

On the downside, gold remains vulnerable to a sharp correction, with the main target area being the retracement zone at $4195.96 to $4136.05.