Gold – Break below key $3300 support zone signals potential trend reversal
Gold fell 1.6% during thin holiday trading in Asia on Thursday, reaching a two-week low as renewed risk appetite—driven by easing trade tensions—continued to erode the metal’s safe-haven appeal.
A decisive break below the key $3300 support zone has generated a strong bearish signal, with confirmation expected on a daily close below this level.
Fresh downside pressure pushed prices through the next significant support area near $3230 (marked by the daily Kijun-sen and 50% retracement of the $2959–$3500 rally), reinforcing a negative near-term outlook.
Technical indicators show 14-day momentum falling sharply toward the neutral line, while the daily Tenkan-sen has turned lower, aligning with the bearish structure.
April’s monthly candle, featuring a long upper shadow, adds to signals of a potential trend reversal.
A firm break below the $3230 zone would further deteriorate the technical structure, exposing next downside targets at $3200 (psychological support) and $3164 (61.8% Fibonacci retracement).
On the upside, former spike lows near $3260 offer initial resistance, while the broken $3300 zone now acts as a key barrier—likely to cap any corrective rebounds and reinforce the bearish case for a deeper pullback.
Res: 3260; 3292; 3300; 3328
Sup: 3221; 3200; 3164; 3100
