Gold: Signs of exhaustion after the surge?

We’ve just witnessed a fairly impressive rally in gold at the start of the week — not too surprising given that the latest JOLTS data showed a slowdown in U.S. job openings, coupled with a sudden escalation in U.S.–China trade tensions. With growing risk aversion, it’s no wonder investors are turning to gold as a “safe haven.”

But here’s the catch: is this rally sustainable?
On the H4 chart, gold has just revisited the old resistance zone around 3,384 — a level that previously pushed prices sharply lower. As price approached this zone, we started seeing upper wick rejections, signaling that buying momentum is fading.

A possible scenario: If price fails to decisively break above 3,384 and continues to get rejected on subsequent retests, there’s a high chance gold may pull back toward the support area around 3,288. This is also the “lifeline” zone near the EMA 34–89, which may act as short-term support.