Gold and the 4k Dilemma

[m_c_jacob]

Yesterday:
After a new test of the 4060 ATH zone, Gold dropped exactly as expected — and as I warned in my recent posts, the move was sharp and decisive, leaving no second chance for traders to reassess.
This leg down measured roughly 1200 pips, finding support around the 3940 zone.

The Key Question: Was That It?

In my opinion — no.
I believe we’re likely to see a second wave of selling soon.

What We See Now

Currently, Gold has formed a double bottom around the 3940 support
Given the still-present bullish sentiment, a short-term rebound toward the 4,000+ area is possible.

Trading Plan

If such a rebound occurs, I see it as an opportunity to sell at better prices, targeting the 3900 zone.
However, I’ll be closely watching the 3940 support, which has held twice already. This could also provide a soft 500+ pips target if I manage to sell above 4k.

P.S.:
There’s also the possibility that Gold fails to rise above 4,000.
In that case, I’ll simply sell from lower levels, following price action confirmation.