Gold prices continue to face significant downward pressure, gyrating around the key 4,000 dollar per troy ounce mark. This represents the lowest level for the yellow metal since November 2025. A combination of macroeconomic uncertainty and a firmer US Dollar has eroded appetite for safe-haven assets.
Economic Drivers and Market Sentiment
The US Dollar has seen some recovery as geopolitical tensions in the Middle East have eased, with traffic through the Strait of Hormuz remaining steady. Market focus has now shifted to the US Personal Consumption Expenditures (PCE) Price Index, set for release on Thursday. Annual inflation is projected to rise to 4.1 percent from April's 3.8 percent. A higher-than-expected reading would likely increase the likelihood of interest rate hikes by the Federal Reserve, providing further tailwinds for the USD.
Technical Outlook
On the four-hour chart, the metal remains decidedly below the 20-period Simple Moving Average (SMA) of 4,124.98 dollars, the 100-period SMA at 4,268.32 dollars, and the 200-period SMA at 4,413.03 dollars. Momentum readings are firmly negative, while the Relative Strength Index (RSI) hovers near the 30 line without showing signs of exhaustion. The daily chart also reflects a bearish trend, with the metal trading well below the 20-day SMA at 4,296 dollars and the 200-day SMA at 4,473 dollars.
Key Price Levels
Initial resistance on the upside is situated at 4,124.98 dollars. A sustained break above this could expose the next barrier near 4,268.32 dollars. Support remains immediate ahead of the 3,900 dollar mark. As of the June 24, 2026, session, gold is trading at 4,025 dollars, down 2.54 percent from the previous close of 4,130 dollars.
