The Federal Reserve's October policy meeting concluded in the early hours of October 29, with the central bank ultimately leaving interest rates unchanged, a result that matched market expectations exactly.
Although the Fed struck a relatively hawkish tone, stressing its focus on inflation and its reluctance to cut rates hastily, the overall hawkishness did not exceed forecasts and no major bearish shock emerged.
Affected by the news, gold traced a wide-ranging, choppy session in the early hours, swinging back and forth between gains and losses before closing slightly higher.
Market sentiment on both the bullish and bearish sides remains cautious, with traders no longer aggressively chasing moves, so the next direction will mainly hinge on guidance from U.S. PCE inflation data to reassess the pace of future Fed rate cuts.
On the technical side, looking at the large daily-cycle timeframe, the broader downtrend in gold has not been completely reversed.
The recent rally is merely an oversold rebound and repair after the prior sustained slump, not a genuine bullish reversal.
Daily technical indicators remain bearish, though bearish force has weakened slightly without fully dissipating.
The larger structure is also very clear: the 3,975 level below is the current core bottom support, and as long as price holds there, gold will likely stay in low-level consolidation with a bias toward rebound repair.
Above, 4,190 and 4,215 are two key resistance thresholds, and only a decisive break and hold above them would truly open room for a sustained advance; otherwise the move can only be viewed as a short-term rebound repair within the prior decline.
In the medium and short term, gold remains in a tug-of-war between bulls and bears, with choppy short-term price action very evident.
After the 4-hour chart showed a rebound off lower support, short-term bulls have gained some momentum, but the larger bearish trend still caps gains, limiting the rebound's strength.
The 1-hour chart is even milder, with price oscillating repeatedly and forces fairly balanced, leaving no clear one-way direction for now.
In sum, across all timeframes: the major trend is still bearish and not fully reversed, while medium- and short-term action will continue to feature low-level repair and consolidation, with bulls and bears still battling back and forth.
In trading, investors should avoid blindly chasing rallies or wrongly calling a trend reversal, treating the market as a choppy rebound and continuing to trade short-term swings around key support and resistance levels.
For today's short-term gold trades, reference levels are: first, with price having pulled back again, consider going long once more in the 4,025-4,028 area, placing a stop below 4,015, with initial targets at resistance around 4,055-4,070 above.
Second, if price rebounds again, focus first on resistance around 4,065-4,070, the primary area to consider shorting, with a stop above 4,085 and targets back toward 4,035-4,030 below.
This article is for reference only and does not constitute investment advice; investors act at their own risk.
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