Indicator depth is oversold, and gold prices are about to see a corrective rebound

On the four-hour chart, the price has continued to stay close to the lower Bollinger Band at 3971.95. This level has formed strong bottom support. After a continuous selloff, bearish momentum has basically been exhausted. The KDJ indicator has fallen into the deep oversold zone, and the three lines are about to turn and form a golden cross. A short-term rebound repair move is gathering momentum. This round of decline is a deep shakeout within an uptrend cycle and has not broken the long-term sideways upward structure.

In terms of news, the recent pullback driven by short-term hawkish remarks has already been fully digested. Market expectations for future rate cuts have not been thoroughly changed. Combined with the persistent global geopolitical risk-hedging sentiment, buy-side funds are continuing to enter at lower levels to support gold. The dollar’s phase-driven upside momentum is insufficient. If subsequent data weakens, dollar pressure falling back will directly propel gold to rebound higher.

Recommendation:
Buy in batches on dips around 3960-3980, with targets at 4030, 4050.

Disclaimer: The above analysis is for reference only and does not constitute investment advice. You bear the risk for trading based on it.