7.8 Evening Thoughts: Gold Plunges Nearly 100 Points from High! Where Will the Market Go After the Sharp Drop?

During the day, gold maintained a volatile and firm trend in early trading, steadily climbing to an intraday high of 4133. In the afternoon, a sudden surge of selling caused a sharp drop, quickly falling to a low of 4040. The intraday maximum decline exceeded 90 points, largely erasing the early morning gains.

From a technical perspective, on the 10-minute chart, the price directly broke below the previous consolidation range. Bollinger Bands opened and expanded downward, short-term moving averages formed a bearish arrangement, and the MACD indicator formed a death cross, with the green bars continuing to expand. The 4040 level is the first intraday support, while the upside resistance is seen in the 4080-4090 area. After the short-term bearish momentum is fully released, there may be a technical correction, but the overall bearish pattern remains unchanged.

Operation reference: Sell in batches on rebounds to the 4060-4080 range, targets 4040 and 4010. $XAUT