Gold Awaits Fed Rate Decision – Key Levels & Volatility AheadGold is currently trading near $3,332, showing a minor recovery after recent downward momentum. The price action on the 1-hour chart highlights a short-term ascending structure, which often acts as a corrective move rather than a strong bullish trend. The market previously saw significant selling pressure from above $3,355–$3,360, creating a short-term supply zone. Unless the price breaks and holds above this zone, the overall momentum remains bearish.
The chart also shows a projected price path where gold could push slightly higher toward $3,355, meet resistance, and potentially reverse downward again. Key support lies at $3,320, and if this breaks, we could see gold testing $3,290–$3,280 levels, aligning with the black trend line support. However, if bulls manage to break above $3,360, it would signal potential upside continuation toward $3,380–$3,400.
Key Points
- Key Resistance Levels: $3,355 and $3,360 (critical supply zone).
- Key Support Levels: $3,320 (short-term), followed by $3,290–$3,280 (major trendline support).
- Expected Short-Term Move: Possible push toward $3,355 → rejection → decline back toward $3,320 and possibly $3,290.
Bullish Breakout Scenario: A strong close above $3,360 could push price toward $3,380–$3,400.
Overall Bias: Bearish while trading below $3,360.
4hr Chart
Price remains under pressure below the descending trendline. A small pullback toward $3,345–$3,350 is possible, but as long as price stays under this resistance, the bias remains bearish with potential downside targets around $3,300–$3,280.
Key Levels:
- Resistance: $3,350 → $3,381 → $3,394
- Support: $3,324 → $3,281 → $3,254
Today’s FOMC interest rate decision is a key driver for Gold. Here’s the quick analysis:
- If Fed Hikes Rates or Maintains Hawkish Tone:
- Strong USD likely → Gold could face more selling pressure.
- Key support zones: $3,324 – $3,300, then $3,281 and $3,254.
- If Fed Pauses or Turns Dovish:
- Dollar weakens → Gold may bounce toward resistance zones.
- Upside levels: $3,355 – $3,360 and higher toward $3,381 – $3,394 (Fib levels).
Expect high volatility; $3,300 is a critical support to watch. A dovish Fed may give Gold short-term relief, but a hawkish stance could accelerate the downtrend.
Note
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