12.04 Gold trade

Gold is currently lacking short-term momentum, and technical indicators have not kept up. Prices are consolidating and correcting while building potential for movement. On the daily chart, the market still tends to further extend the adjustment wave pattern and is in the C-wave adjustment phase. The 4-hour chart shows that after dropping from a high of 2721 to a low of 2536, gold rebounded at the 0.618 retracement level (the support level of 2721), showing slight hesitation yesterday. Meanwhile, the moving average indicators are disorganized and diverging, indicating that it will take time to establish a clear trend. The candlestick structure is biased toward the downside. Therefore, attention should be paid to the consolidation and correction over the next two days to see if the downward trend can continue.

Trading Strategy: Consider short positions in the 2647-2650 range, with a stop loss set at 2653.5 and targets set to further decline to the 2620-2610 range.