Time has now reached the afternoon of January 16th, and gold prices are still fluctuating at high levels, which has become the recent norm. The biggest variable affecting the short-term direction of gold prices is still the international situation—there has been some easing of tensions in Iran, and risk aversion sentiment has cooled accordingly, but this has not caused gold to drop sharply. Instead, the gold price remains firmly above the $4,590 level, indicating that the buying support below is still quite solid.

Another point worth noting is the remarks by the former President of Iceland regarding Greenland issues. These topics reflect many uncertainties in the current international order, and this potential risk is actually an important factor supporting the long-term trend of gold. After a sharp rise earlier, both bulls and bears have become more cautious, so in the short term, the market is likely to remain in a high-level consolidation pattern, waiting for the next clear directional signal.

From a technical chart perspective, the daily chart shows a spinning top with a long lower shadow, which actually explains the situation well—there is still strong support below. The price has been undergoing a technical correction from the high of $4,642, and the current fluctuation range is repeatedly between $4,580 and $4,640. Looking at the 4-hour chart, all moving averages are now tightly clustered, with bullish and bearish forces in a stalemate, and the oscillation characteristics are particularly obvious.

It is important to emphasize that this correction is a normal pause after a significant rise in gold prices. It will not break the medium-term upward trend; on the contrary, it is conducive to consolidating the foundation and accumulating energy for further upward movement.

Regarding trading strategies, consider the following:

If bullish, look for opportunities to build positions within the $4,581 to $4,590 range, with a stop loss below $4,570. The initial target is the $4,612 to $4,622 range, especially paying attention to how the $4,624 resistance level performs. If a successful breakout and stabilization occur, then aim for the space between $4,640 and $4,670.

If bearish, wait until the price breaks below the key support zone of $4,581 to $4,567, then follow the short side, with a stop loss above $4,590. The lower targets are $4,550 to $4,530, but position sizing must be controlled carefully.

Until there is a substantial breakout, it is recommended to trade around these range boundaries, operating in high short and low long positions accordingly. The most important thing is to adhere to position management principles—avoid overtrading in such oscillating markets, and focus on risk control for each trade.