Gold Loses Its Luster: Hawkish Fed Pivot Triggers Massive Retreat Toward USD 4,000

Gold lost its shine after the hawkish tone by the Fed.  After hitting a peak around $5415, it’s currently hovering near $4593.

As of March 19, 2026, gold has experienced a notable technical decline, trading around USD 4,616 per ounce. For the first time in over two and a half years, it dropped decisively below its 21-week Exponential Moving Average, which sits near USD 5,034. This represents about an 8.3% gap below that average, marking the most prolonged period of underperformance since late 2023. This shift effectively reverses the momentum from a multi-year rally that reached its peak at USD 5,608 back in January. The main forces behind this downturn appear to be a renewed strength in the US Dollar and central banks signaling they will maintain higher interest rates for a longer period, moving away from earlier expectations of cuts.

Major support- $4400 (Feb 2nd 2026). Major bearishness below $4400. Any violation below targets $4000/$3605.

It is good to sell on rallies around $4728-30 with SL around $5000 for a TP of $4000/$3600.