Artem Voloskovets
The decline puts gold under renewed pressure after its recent gains and brings the market closer to the $4,350 level, which could become an important short-term reference point for traders.
At $4,360.89, a 2% decline represents a loss of roughly $89 per ounce from the previous reference level near $4,450.
Gold Extends Its Pullback
The latest move is notable because of its size. A near-2% daily decline is significant for gold and suggests that investors are reducing exposure rather than simply taking profits around recent highs.
The move also increases the importance of the $4,350 area. A break below it would put gold at a new short-term low and could accelerate selling if traders with leveraged or momentum-driven positions begin exiting the market.
On the upside, gold would first need to recover the $4,400 level to reduce immediate downside pressure.
What Matters Next
The next direction will depend on whether buyers emerge around $4,350. If that level holds, gold could stabilize after the nearly 2% decline and attempt to recover part of the loss. If selling continues below $4,350, attention will shift to lower support levels and the size of the broader correction.
Artem Voloskovets
