COMEX gold futures rebounded from the US$4,300 support level to close at US$4,342.70 on Tuesday, although weakening technical momentum suggests the precious metal remains vulnerable to further selling pressure.
Gold opened the session at US$4,349 before trading between a high of US$4,379.60 and a low of US$4,295.80. The metal subsequently recovered to finish above the key US$4,300 level.
According to the technical market commentary, the latest price action indicates that the US$4,300 support remains intact despite renewed bearish momentum.
However, the Relative Strength Index (RSI) has fallen below the 50 mark, signalling a strengthening of selling pressure.
A sustained break below US$4,300 could trigger further corrections towards the US$4,150 level.
For now, the commentary maintains a bullish trading bias and recommends retaining long positions as long as gold holds above the US$4,300 support threshold.
The near-term outlook therefore hinges on whether buyers can continue defending this level amid weakening momentum.
