Asia stocks climb tracking Wall St rally; Nikkei hits record high, China GDP beats
- Gold pares gains below uptrend line on softer dollar
- Dip‑buyers emerge, but upside remains limited
- Momentum signals maintain a neutral‑to‑bearish stance
Gold is holding steady near 4,500 on Monday, attempting to build on last session’s 2.5% rebound as a softer dollar offsets fading rate‑cut expectations. Still, the precious metal struggles to attract strong dip‑buying interest amid a bearish technical backdrop after falling more than 15% this month.
Price action remains range‑bound in a bearish consolidation phase below the medium‑term ascending trendline and the 100‑day SMA. Momentum indicators reinforce this hesitation – the MACD remains in negative territory, showing persistent downward pressure, while the RSI is flatlining just above oversold levels, suggesting bearish momentum is easing but not reversing. Last week’s rebound from the 200‑day SMA near 4,000 therefore remains on fragile footing.
Initial resistance sits at 4,600, the 38.2% Fibonacci retracement of the March 2-23 pullback, aligning with the 100‑day SMA. A break above could open the way to the 50% Fibonacci level at 4,758, followed by the 20‑day SMA, currently in a bearish crossover with the 50-day SMA, near 4,850.
Support emerges near 4,375, where recent lows have held, followed by deeper support around 4,300 if sellers regain control. Below that, the 200‑day SMA in the 4,000-4,150 zone remains critical.
Summing up, Gold has snapped a three‑week losing streak, but the modest recovery from multi‑month lows remains volatile. A sustained move back above the uptrend line is needed to shift the precious metal onto more stable ground.