Gold remains in the red for the third day in a row, and is heading towards a third consecutive weekly loss, under renewed pressure from the Federal Reserve’s hawkish approach.
A recovery leg from the $4,000 support area (the metal hit a new 2026 low at $4,023 on June 11), repeatedly failed to register a close above the important Fibonacci resistance at $4,354 (38.2% of $4,889/$4,023 bearish) resulting in a bull trap formation.
The post-FED downward acceleration has confirmed the end of the corrective phase and a shift of near-term focus to the downside (new weakness has so far retreated over 61.8% from $4023/4382), as the price is about to record a second weekly close below the bearish channel support line (after a short-term return to the channel).
Fully bearish daily technicals (reinforced by the latest bearish crossover formation 30/200DMA) are adding to expectations of renewed investigation through the cracked Fibo support at $4,077 (38.2% of uptrend $1,616/$5,598) and an attack on the top of the weekly high cloud ($4,058) protecting the psychological support at $4,000.
The Fed’s hawkish interest rate outlook is likely to continue to keep the metal’s price under pressure, although major support in the $4,100 and $4,000 range needs to be cleared to generate a bearish continuation signal.
Accuracy: 4213; 4251; 4354; 4382
sip: 4077; 4058; 4023; 4000
