On Friday (July 31) in Asian trading, spot gold fluctuated narrowly above the $4100 mark, currently trading around $4105 per ounce, holding onto most of its overnight gains. Yesterday, spot gold strongly broke through the $4100 per ounce mark, catalyzed by the Fed's interest rate decision, with a gain of approximately 0.9%.

The June PCE personal consumption expenditure price index, released on Thursday, fell by 0.1% month-on-month, indicating a temporary decline in inflation. The market subsequently lowered its expectations for a Fed rate hike in September, which is the core driver of this round of gold's rebound. However, market concerns about safe-haven assets have not completely dissipated. This month-on-month decline in PCE is mainly due to lower energy prices, rooted in the previous temporary ceasefire agreement between the US and Iran. However, this ceasefire agreement lacks stability, meaning that the current cooling of inflation is only a temporary phenomenon and not sustainable.

From the daily chart for spot gold, yesterday's price rebound resulted in a large bullish candlestick, suggesting that the support level at the 4000 mark remains valid. Although the MACD indicator has issued a golden cross signal, the price is currently in a consolidation phase, and the key resistance level to watch is 4200.

From the 4-hour chart for spot gold, after retracing to the 4000 level this week, the price rebounded. The MACD indicator has issued a golden cross signal and continues to rise, suggesting that the price may have further upward momentum in the short term. Intraday, pay attention to the support level of the MA10 moving average. Resistance: 4080-4090-4100; Support: 4070-4060-4050.

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.