On Tuesday (July 21), spot gold hovered around the $4,000 mark in Asian trading. The US-Iran conflict continued to escalate, with the Houthis announcing a naval blockade of Saudi Arabia. Oil prices surged, inflation concerns rose again, and expectations of a Fed rate hike strengthened significantly. As a non-interest-bearing asset, gold's attractiveness diminished in a high-interest-rate environment. Although geopolitical risks should have provided support, the interplay of multiple factors led to a cautious pullback in gold prices in the short term.

Against the backdrop of persistent global geopolitical uncertainty and potential inflationary pressures, gold's strategic value as a core component of diversified asset allocation remains undiminished. Investors should closely monitor shipping activity in the Strait of Hormuz and the Bab el-Mandeb Strait, the progress of US-Iran negotiations, and the tone of the Fed's meeting next week.

From the daily chart for spot gold, yesterday's price action saw a surge followed by a pullback, resulting in a candlestick pattern with a long upper shadow. Prices have been hovering at low levels recently, and the MACD indicator's convergence has failed to provide any valuable signals. It is recommended to continue monitoring the price action, paying attention to the support level around 4000 and the resistance level around 4200.

From the 4-hour chart for spot gold, after rebounding to the 4200 level, prices faced resistance and subsequently declined. However, the 4000 level has provided strong support, and a break above it has not yet been achieved. Currently, prices are rebounding, and intraday resistance is seen around 4060. Resistance: 4050-4060-4070 Support: 4040-4030-4020.

Disclaimer: The article is contributed by the market analyst from Binkex market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.