6.22 Fengqing Midday Gold Analysis

In the early session, gold prices surged to the 4220 resistance level, then came under pressure and pulled back. They are currently consolidating in a narrow range around the 4197 mark.

Driven by hawkish remarks from the Federal Reserve, expectations for rate cuts have weakened. The U.S. dollar and U.S. Treasury yields have both moved higher. In addition, as geopolitical safe-haven value fades and inflation benefits provide support, the bulls hold the upper hand. Only central bank gold purchases are barely managing to keep gold price below-key-support from being broken.

The weekly and daily charts have confirmed a downtrend with three consecutive bearish sessions, and moving averages show clear resistance. The corrective rebound triggered by short-term oversold conditions has been weak, and the bulls are unable to mount an effective push higher.

Trading reference: Go long on dips at 4200–4230, target 4170–4150.