Gold market analysis

Gold prices expected to stage a short-term rebound wave  
Completed on 20/7/2026 at 11:15  

Following the temporary suspension of the ceasefire agreement between the United States and Iran, military clashes have resumed. The U.S. launched a new round of airstrikes, while Iran targeted multiple U.S. bases in the Middle East. Reports indicate that three American soldiers were killed within two days. In response, U.S. forces carried out another airstrike against Iran late at night—marking the ninth consecutive nighttime attack by the U.S. on Iran. Meanwhile, Iranian media, citing sources from the Islamic Revolutionary Guard Corps, reported that no vessels are currently allowed to pass through the Strait of Hormuz, and any ship attempting to cross will face Iranian strikes. They further stated that as long as the U.S. continues hostile and provocative actions, the Strait of Hormuz will remain closed, and Iran will not issue passage permits to any vessel. 

Oil prices surged in today's Asian session, with New York crude futures briefly reaching $84.6 before slightly retreating to around $83. Gold reacted differently this time; although it opened lower and continued to decline early in the morning, spot gold rebounded after dropping to $3,983.04. On the hourly chart, gold broke above the $4,000 level with a bullish engulfing pattern, followed by further gains, temporarily reaching a high of $4,028.72. In fact, after hitting a low of $3,959.91 in early Friday trading in New York, gold had already staged a strong recovery on the hourly chart with another engulfing pattern, closing at $3,997.47 and briefly surpassing the $4,000 mark. Gold is likely to see further short-term upside momentum. 

From the hourly chart, gold remains in a downward trend since July 6, although there have been several rebounds during this period. The rebound from the lows on July 8 and 14 reached approximately $116 to $117. Based on yesterday's low of $3,959.91, gold should be able to rise to around $4,076—approaching the 50% retracement level of the entire downtrend at $4,081.20. From a Gann square perspective, gold has now re-entered above the 90-degree angle at $4,010. If it can hold steady above this level, it may further challenge the 135-degree resistance at $4,110 in the short term. However, this resistance is relatively light, and gold could potentially advance toward the 180-degree level near $4,210 before encountering significant resistance. For today, key support levels are expected at $4,005 and $4,000. 

The above information is for reference only and does not constitute investment advice.