Will Gold Fall Below 4000? Strategy Update

3 days ago

Several important economic data releases were released today. Despite the significant volatility risk, we still executed five trades, including both long and short positions. Based on professional market analysis and accurate market sensitivity, all trades were profitable. Our operations were conducted under the collective witness of everyone; you can check our historical recommendations to verify their accuracy.

Gold has repeatedly encountered selling pressure during its rebound, indicating significant selling pressure above. The gradually decreasing rebound highs also suggest that bullish confidence is wavering. As long as gold cannot hold above 4110, the bears have a slight advantage. Therefore, the main trading strategy going forward will remain to sell on rallies. As the rebound highs gradually shift downwards, the short-term resistance zone has also moved down to the 4085-4105 area.

The short-term support zone is located in the 4050-4040 range. Only a break above this zone will open up further downside potential. Although gold has rebounded from this area multiple times during the pullback, after repeated tests, the support in this area may be further weakening, and a break above this zone may only be a matter of time. Once the 4050-4040 range is broken, gold prices could accelerate their decline to the 4000 level, or even the 3980 area.

Therefore, for short-term trading, we can temporarily consider waiting for gold to rebound to the 4085-4095 range before attempting to short gold in batches. Start with a small initial purchase, and reserve funds for future averaging down. I focus solely on short-term trading and clear market analysis. In short-term trading, there is no market that rises or falls forever, only the right entry point at any given moment. Find the rhythm and follow the trend. This is the essence of trading. If you don't yet have a gold trading plan or strategy and are seeking consistent and stable returns, please contact me. Let's work together to flexibly and steadily pursue greater profits in the ever-changing market!

3 days ago

Trade active

Our initial short position at 4085 was correct, and we have already made substantial profits. The continued decline from the current rebound high indicates that gold remains weak. Gold is repeatedly testing the support level of the 4040-50 range. Only by holding this level can we avoid a one-sided trend and maintain range trading; gold could break below this support. We will mainly focus on the strength of the European session to look for buying opportunities.

3 days ago

Trade closed: target reached

As we expected, gold prices moved in line with our forecast. Over the past two trading days, we have consistently emphasized that the trend remains bearish unless gold prices break through $4100. Today, we reiterated the possibility of gold prices breaking below the $4040-$50 range. Although there was a brief rebound near the $4040 support level, this short-term recovery was insufficient to reverse the overall weakness in gold prices. Currently, the $4020-$30 range remains a support level; a break below this level could lead to further declines towards $4000. Our current strategy is to sell on rallies. Currently, $4055-$65 appears to be the first entry point for short positions. Please manage your position size carefully and buy in batches.