Personal view

Long positions have fully lost follow-through capital; dip-buying funds have no intention of entering. The long side has completely exited. The overall market is entirely dominated by short positions, with no order-book signals indicating a sell-off reversal and stabilization.

Second, macro news sentiment has formed a definitive bearish resonance. Hawkish comments from the Federal Reserve have already locked in a negative bias for this week’s inflation data. Market capital has already priced in the risk of tighter monetary policy in advance. At this time, the market logic is extremely clear: continued high-rate expectations are suppressing gold’s valuation. Before the evening CPI release and the major outcome of the Fed hearing, both market sentiment and fund flows are entirely bearish. Gold can hardly sustain a recovery rebound; any small rebound during the session is merely a technical correction and a bearish opportunity. There is no trading value in going long on a reversal.

Third, the technical structure has completely weakened, and the long/short setup has fully reversed. Yesterday’s large bearish candle directly broke through multiple key support levels. The prior support platform has been thoroughly converted into a strong resistance zone, forming a bearish cycle structure of “support turning into suppression.” At present, the market is in an accelerated bearish downswing. Going short with the trend is the only optimal approach; buying the dip against the trend carries extremely high risk and very low risk-reward. Unless there is a clear K-line signal showing the sell-off has ended and stabilization has begun, strictly avoid bottom-fishing or guessing bottoms.

Intraday main line: expect pullback on rebound resistance

Aggressive entry: short around 4030
Conservative entry: short around 4050
Stop loss: 4060

Layered take-profit targets:
First target: 4020
Second target: 4000
Third target: 3985

If 3985 is broken down effectively, extend to: 3970, 3962, 3953-3941