Gold rebounds after bottoming out with strong support, showing solid backing—short-term bias remains bullish and awaits a breakout!

Yesterday, the gold market opened slightly higher with a gap, starting at 4740. During the Asian trading session, gold prices moved upward first, reaching the daily-level pressure peak at 4773, but then encountered strong resistance. Bullish momentum quickly faded, and the market promptly turned lower, entering a sustained pullback mode.

Entering the European session, gold prices overall remained weak and oscillated within a narrow range. Rebound momentum was extremely lacking, and it never formed an effective counterattack. Later in the evening, the U.S. April CPI inflation data was released. The result far exceeded market expectations, directly triggering a concentrated release of market sentiment. Gold then suffered a cliff-like sell-off, with the price rapidly dropping to around 4638—this is the core daily-level strong support zone.

With strong buy-side funds stepping in at the key support level, gold quickly stopped falling and stabilized. It then formed a deep V reversal pattern, followed by a sustained rebound and repair. In the late session, it maintained an upward oscillating tone, and ultimately closed at 4715. The daily chart printed a short-bodied hammer-like bearish candle with an extremely long lower wick, clearly showing that the support below is solid and reliable, with sufficient follow-through from buyers and strong bull backing.

From a cyclical technical pattern perspective, after being under pressure at high levels, the 4-hour timeframe saw consecutive bearish closes and continued downside. After reaching the key lower support, the sell-off halted and prices rebounded. Bearish momentum kept weakening, and the overall market returned to the broad-ranging consolidation area. On the 1-hour timeframe, after probing the low, prices pushed up in consecutive bullish moves. The short-term moving average cluster turned upward, constructing a short-term reversal and recovery pattern, with bullish power taking the lead in the short term.

Today’s key trading range is already clear: strong resistance is concentrated in the 4775-4785 area above, while the key support is located in the 4685-4695 range below. The overall trading strategy focuses on buying on pullbacks, aiming to avoid the risk of chasing shorts at high levels.

Trading reference

Buy in batches on pullbacks in the 4680-90 range, with targets at 4715-4740-4770!#美国4月CPI上涨3.8% $BTC $ETH