Gold Faces Bearish Phase with 4,357 Resistance Capping Upside
Analysts predict gold will stay under pressure next week unless it breaks the 4,357 resistance level.
Key points
- Gold faces bearish pressure with resistance capped at the 4,357 to 4,403 zone.
- Prices may fall to the 4,282 support level if current selling momentum continues.
- A Head and Shoulders pattern on the daily chart signals a potential trend reversal.
Gold prices face strong downward pressure next week as the daily chart enters a bearish phase. The metal is capped by a critical resistance zone between 4,357 and 4,403.
Dupoin Futures analyst Geraldo Kofit states that sustained movement above this area is required to shift the trend. Without this break, selling pressure will likely dominate market activity.
Resistance zone dictates near term price direction
The 4,357 level acts as a hard ceiling for current trading activity. Traders must watch if buyers can push prices through and hold above this threshold.
Failure to break this resistance confirms the bearish structure remains intact. This outcome keeps the market vulnerable to further declines in the coming sessions.
Support level at 4,282 offers key defense
If selling intensifies, gold prices are projected to drop toward the 4,282 support level. This zone serves as the primary floor for the current price structure.
Market participants will monitor how the asset reacts when it reaches this area. A rejection at 4,282 could signal a temporary stabilization or a continuation of losses.
Technical patterns reinforce bearish outlook
A Head and Shoulders pattern is forming on the daily chart. This configuration typically signals a potential weakening of the broader price trend.
According to Kompas.com, this pattern reinforces the view that selling pressure will persist. It suggests that any rebound attempts may face significant resistance from the market.
