In early Asian trading on Thursday (June 26), spot gold opened higher, buoyed by a late rebound in the previous session and a weakening U.S. dollar index, which provided additional support. At the time of writing, spot gold was trading at $3,327.91 per ounce, up 0.1%.

The ceasefire agreement between Iran and Israel has dampened safe-haven demand, leaving gold prices in a short-term stalemate. As risk appetite improves, gold faces downward pressure, with reduced geopolitical concerns eroding its appeal as a traditional safe-haven asset.

U.S. Federal Reserve Chair Jerome Powell struck a hawkish tone in his congressional testimony, suggesting that due to unresolved tariff debates, the Fed has no urgency to cut rates. This diminished market expectations for a July rate cut, increasing the opportunity cost of holding non-yielding assets like gold and limiting its short-term upside. However, Powell also emphasized the need for more data to assess the economic outlook, particularly regarding the impact of recent tariff rhetoric on inflation. If inflation data does not worsen as expected, the Fed may pivot toward easing more quickly, but for now it maintains a wait-and-see stance. According to the Bitop market analysis team, there is over an 80% chance of a rate cut in September. Investors are advised to remain cautious ahead of key U.S. economic data releases, including updates on U.S.-Iran talks, Thursday's GDP and employment data, and Friday’s PCE inflation report—all of which could act as catalysts for gold price movements.

On the daily chart, gold prices have been trending lower in recent sessions but found support near the 60-day moving average and ascending trendline, bouncing back accordingly. Although the ZigZag (ZZ) indicator does not yet confirm a bottom, if prices decline again, these levels may offer another bullish entry point. A rebound could retest the $3,430 or even $3,500 levels. However, a decisive break below the $3,285 support could open the door to the 100-day moving average near $3,160, from where a double-bottom or horizontal support-driven rebound may follow.

On the 4-hour chart, gold has clearly broken below the mid-band of the Bollinger Bands, confirming a weak technical pattern and paving the way for further downside. This rebound is seen as a favorable opportunity to enter short positions in line with the prevailing trend.

On the 1-hour chart, the recent secondary high at $3,360 serves as a key resistance level for bears. If gold fails to break this level convincingly, the bearish trend will likely persist. On the downside, the $3,300–$3,290 range is a critical support zone. A breakdown below this area may trigger a new wave of selling pressure.

Overall Technical View: Gold is currently holding above the $3,300 level. A break below this key support could accelerate declines toward May’s low near $3,120. Conversely, renewed geopolitical tensions or a significant deterioration in U.S. economic data could push gold back above the $3,400 level.

For today's short-term gold trading strategy, it is recommended to focus primarily on short-selling on rebounds, buying on dips as a secondary approach.In the short term, key resistance is seen in the $3,357–$3,367 range, while key support lies in the $3,320–$3,310 range.

Disclaimer: None of the information contained here constitutes an offer (or solicitation of an offer) to buy or sell any currency, product or financial instrument, to make any investment, or to participate in any particular trading strategy.