On Wednesday (March 18) in early Asian trading, spot gold traded around $5000 per ounce. Safe-haven demand and bearish pressure stemming from inflation balanced each other, keeping gold prices relatively stable recently. The market is focused on the escalating conflict with Iran while awaiting the Fed's upcoming policy decision.

Currently, gold prices are at a critical juncture. Geopolitical uncertainty and oil price inflation expectations provide natural support for gold, while the Fed's cautious interest rate path and high-interest-rate environment pose significant resistance. If Wednesday's Fed dot plot shows a further downward revision of rate cut expectations, or if there are signs of easing tensions in the Iranian conflict, gold prices may face downward pressure. Conversely, if the conflict continues to escalate and oil prices remain high, gold's safe-haven appeal will re-emerge, and the $5000 level could become a new starting point.

From the 4-hour chart for spot gold, the recent price action continues its downward trend. While the geopolitical situation remains tense, the strong rebound of the US dollar index has undoubtedly hindered gold's upward momentum. The key to breaking through this resistance lies in the Federal Reserve's interest rate decision. Currently, the moving averages are relatively close together, offering limited support. Although the MACD indicator is in a golden cross state, it is unlikely to have a significant impact, and the struggle around the 5000 level cannot be ruled out.

From the 1-hour chart for spot gold, since Monday's gap-up opening, the price has been trading within a range. Although there was some pullback last night, the actual range was not significant, generally hovering around the 5000 mark. Currently, the moving averages are basically converging, and the MACD indicator is near the zero line, all signals of intense competition between bulls and bears. Therefore, the recommended strategy for now is to primarily buy low and sell high. Resistance: 5020-5030-5040; Support: 5005-4995-4980.

Disclaimer: The article is contributed by the market analyst from Bitop 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.