Sell the Bounce": Gold Rally Stalls Near $4165 as Fed Hawks Slam the Door on Rate Cuts — Targets $4000/$3600

Gold pared most of its gains as Fed rate cut hopes fades.  After hitting a low around $4023  and it’s currently hovering near $4131.

The hawkish posture of the Fed has caused markets to lower their forecasts for near-term rate reductions as policymakers indicate that policy might remain tight for longer until inflation cools more clearly. In essence, that suggests that borrowing expenses might stay high for more of 2026, which helps the dollar and yields while depressing rate-sensitive assets like growth equities and cryptocurrency.

 Major support-$4000. Major bearishness below $4000. Any violation below targets $3605/$3000/$2800. Near-term resistance - $4200/$4245/$4300/$4400.

 It is good to sell on rallies around $4160-65 with SL around $4225 for a TP of $4000/$3600.