Gold Consolidates Near $4,108 as Momentum Flattens Below Key Resistance

Gold futures are trading at $4,108.8, down 0.32% on the session, consolidating after reaching a high of $4,155, precisely at the Daily Sell 1 level and near the 50% Fibonacci retracement zone. The VC PMI AI model continues to map price action with remarkable precision, as the market finds resistance at the upper boundary of the short-term channel and begins a corrective phase within the broader bullish structure established since the low of $3,935.7 last week.

Technical Structure and VC PMI Levels

The Daily VC PMI mean is positioned at $4,083, serving as the current equilibrium level. Price remains slightly above it, indicating mild bullish bias, though momentum is flattening as the market pauses under the heavy resistance band between $4,114 (Weekly Sell 1) and $4,203 (Sell 2 Weekly).

Below current prices, Buy 1 Daily ($4,043) and Buy 2 Daily ($3,963) define key reversion zones where new long entries could emerge if the market corrects further. The Weekly Buy 1 level aligns at $3,950, reinforcing this confluence as a strong demand cluster.

Momentum and MACD Confirmation

The MACD (14, 3, 3) shows a flattening pattern near the zero line after an extended bullish impulse, suggesting a short-term pause or mild retracement may be underway. However, as long as gold maintains above the Weekly VC PMI of $3,996, the dominant intermediate trend remains bullish. A crossover back upward on the MACD histogram from this zone would confirm renewed upward momentum, likely targeting the $4,200–$4,230 range once again.

Cycle and Fibonacci Alignment

The current advance from $3,935.7 to $4,155 fits within the 30-day and 60-day Gann cycles, implying that a short-term correction could occur mid-week before the next impulse leg. The 38.2% retracement level near $4,090 aligns precisely with the daily mean, reinforcing its significance as a balance point before potential resumption of the trend.

Outlook

Gold’s near-term structure remains bullishly aligned while above $3,996, with traders advised to buy corrections toward $4,043–$3,963 and take profits near $4,200–$4,230. A sustained close below $3,950 would neutralize this bullish outlook and activate the next support zone around $3,897.

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Disclosure: Trading futures involves substantial risk and is not suitable for all investors. Past performance of the VC PMI AI model is not indicative of future results. Always use protective stops and appropriate position sizing.