On April 23, market sentiment indicates that although geopolitical tensions in the Middle East have not escalated further, risks remain unresolved after the ceasefire expiration, with safe-haven demand likely to rebound at any time, providing underlying support for gold prices. U.S. economic data has been mixed; while expectations for interest rate cuts have been delayed, the overall easing cycle remains intact. Global central banks continue to purchase gold, with the People’s Bank of China increasing its holdings for several consecutive months, creating strong underlying support from both physical and institutional buying. Short-term bearish factors are mainly driven by profit-taking at high levels rather than a trend reversal.
From a technical perspective, the daily chart shows gold prices still trading below moving averages, with the bearish alignment unbroken and the overall downtrend intact. Key support lies in the 4680-4700 range. On the 4-hour chart, although gold has broken above the middle Bollinger Band, the rebound has failed to hold above key resistance levels. The MACD histogram is shrinking but has not formed a clear golden cross, while the KDJ indicator shows weak momentum after turning upward from low levels, suggesting a potential retest of the middle band and previous lows. On the 1-hour chart, a V-shaped rebound has been followed by consolidation, with weak bullish momentum in short-term moving averages and repeated failures to sustain upward moves, indicating a lack of sustained buying interest.
In terms of resistance, short-term resistance is seen in the 4770-4780 range, which will play a key role in determining whether gold continues to test lower levels. If this zone is breached, the next key resistance lies at 4830-4870, which represents yesterday’s high and weekly chart pressure. As long as prices remain below this level, the bearish outlook persists, though further declines may take time to materialize. For support, the 4700 area remains critical, followed by 4680. A bounce from these levels may present short-term buying opportunities.
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