Bearish undercurrents are surging! After a sharp decline in gold, hidden signals of a trend reversal

From a technical perspective on the four-hour chart, the gold price continues to move within the lower and middle bands of the Bollinger Bands, confirming a complete bearish trend. The price has fallen from a high level, repeatedly breaking through key support levels, with a very clear downward momentum. The KDJ indicator is in the oversold zone at a low level, with bearish momentum fully released. The short-term downside space has narrowed, indicating a technical rebound correction is needed, but resistance above is heavy, making it difficult for the rebound to change the overall downward trend.

On the news front, expectations of tightening crude oil supply have boosted commodity inflation concerns, somewhat limiting the decline of gold. However, the overall risk aversion sentiment in the market has cooled down, coupled with continued outflows of profit-taking positions from previous high levels, resulting in severely insufficient bullish momentum.

Suggestions:
Buy in batches around 4600-4620, target 4550, 4500

Disclaimer: The above analysis is for reference only and does not constitute investment advice. Operate at your own risk.