Recently, gold surged to around 5419 before starting to pull back, then plummeted on Tuesday, with the lowest at 4997. This pattern is consistent with previous declines last year, which showed technical signs of falling near the middle band of the daily Bollinger Bands, followed by repeated tests and trend reversal leading to an upward move. Currently, the close is at 5141, with the rebound nearly retracing half of the decline. It is basically confirmed that this round of correction has completed, and a cyclical rally is beginning.

The daily chart has already closed with a positive candle, indicating a sideways upward trend. Such a rally can happen quickly. In the short term, watch for resistance around 5230–5240. The 4-hour chart is even more obvious: after Tuesday’s initial rise and subsequent fall, the Bollinger Bands are narrowing, moving averages are converging, and the candlesticks above 5000 are closing positively and trending higher. Therefore, the major range to watch is between 5000 and 5400. Gold could potentially strengthen this week or next, reaching the high of 5400.
Trading suggestion: Buy near 5130–5140, with a stop loss at 5100, targeting 5180/5200.
Disclaimer: The above content is for personal ideas and opinions only and does not constitute trading advice.