6.1 Gold Midday Thoughts

This morning, gold generally moved higher before reversing and consolidating, with an upward push to around 4545 after a dip and stabilization in the early session. Subsequently, the bullish momentum weakened, and prices faced continued resistance at high levels, leading to a decline, with the midday session around 4506. At the start of the week, market trading was cautious, with geopolitical positives supporting the gold price bottom, but the cooling of the Fed's rate cut expectations limited upward potential, resulting in a tug-of-war between bulls and bears.

From a technical chart perspective, the daily chart's major bullish trend remains intact, but short-term indicators are turning weaker, indicating the market is entering a correction phase at high levels. The key support level for the day is at 4500, which also serves as the dividing line between strong and weak volatility; short-term resistance is concentrated between 4520 and 4530. Without a breakout above this range, the bullish trend cannot continue.

The midday trading strategy focuses on range-bound swings, strictly avoiding chasing highs or lows. If prices retrace to and stabilize around 4500–4505, consider light long positions, targeting rebounds to 4520–4530. If the rebound reaches 4528–4532 and faces resistance, consider short positions, with a target back at the 4500 level. If the price breaks below 4500, short positions can be taken to target 4480. Overall, position sizes should be tightly controlled, with stop-losses in place, to adapt to the choppy, $BTC oscillating market.