Gold Holding Above 3200… But Is the Rebound Real?

Gold followed through on our previous expectation, bouncing from the 3140–3160 support zone after briefly tagging a low near 3120. From there, bulls regained some control and managed to reclaim the 3200 level, which we’ve been watching closely. Although last week’s close was above 3200, I still consider this move a corrective bounce, not a confirmed reversal.

The key level I’m watching now is 3282, which aligns with the 50% Fibonacci retracement of the recent decline from 3440 to 3120. Until price decisively closes above this zone, I’ll continue to treat this as a pullback within a broader correection/downtrend and hold onto a portion of my short positions.

If bulls manage to break and hold above 3282, we could start seeing signs of a short-term trend shift toward higher resistance zones like 3350 or beyond. However, as long as price stays below 3282, the risk remains for another move back below 3200 and if that happens, a revisit of the 3140–3120 support zone is very much on the table. and if that support break, our previous bearish targets come back into focus.

So for now, I’m still leaning toward downside continuation unless the market proves otherwise by reclaiming key resistance with strength.