Gold Extends Its Decline — Is Another Wave of Selling Ahead?

Market Structure

Gold remains in a clear short-term downtrend on the 4-hour chart. Price continues to print lower highs and lower lows, while recent rebounds have lacked follow-through. As long as resistance continues to cap the upside, sellers remain in control.

Market Sentiment - Bearish

Market sentiment remains bearish. Selling pressure continues to dominate after repeated failures to sustain recoveries, indicating that market participants remain cautious toward upside attempts.

Bullish Scenario

If buyers manage to reclaim 4,360, Gold could recover toward the next resistance around 4,420. A sustained break above that level would weaken the current bearish structure and suggest that bullish momentum is returning.

Bearish Scenario

If price breaks below 4,300, selling pressure could accelerate toward 4,260. Holding below that support would reinforce the current downtrend and increase the probability of further losses.

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Market Outlook

Gold remains under pressure after failing to hold above recent resistance. Although short-term oversold conditions may trigger technical rebounds, the overall market structure still favors sellers unless key resistance levels are reclaimed.

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Key Levels

First Resistance 4,360
Second Resistance 4,420

First Support 4,300
Second Support 4,260

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Future Scenarios

A sustained move above 4,360 would indicate buyers are regaining momentum and could open the way toward 4,420. A successful breakout above that level would suggest the recent correction is losing strength.

On the downside, a break below 4,300 would confirm continued selling pressure and expose 4,260 as the next key support. Losing that level could trigger another leg lower.

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Event Risk

Gold remains highly sensitive to U.S. macroeconomic data and shifts in market expectations.

Traders should closely monitor Federal Reserve policy expectations, U.S. inflation and employment data, Treasury yields, the U.S. Dollar Index, and geopolitical developments. These factors could generate significant volatility in the coming sessions.

Ultimately, price action remains the strongest confirmation. If bullish catalysts fail to push Gold above 4,360–4,420, the bearish trend may continue. Conversely, if bearish news cannot break 4,300–4,260, buyers may begin building a stronger recovery.

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Please share your view below:

Do you expect Gold to stabilize around current support and rebound, or will the bearish trend continue toward lower levels?

More market structure and key level updates will be shared regularly.