The Christmas holiday has led to the closure of major global markets, resulting in light trading activity. Gold, after recently breaking through the historic 4500 level, has begun a technical correction. Yesterday, the price reached an intraday high of 4525, then retreated to 4448, and finally consolidated around 4480. This "new high followed by a correction" pattern is quite typical—on one hand, bulls are taking profits at high levels, creating selling pressure; on the other hand, holiday funds are cautious and observing, and both sides are temporarily balanced.

However, from a medium- to long-term perspective, the bullish foundation of gold remains intact. Expectations of Federal Reserve rate cuts continue to strengthen, the US dollar remains weak, and global geopolitical tensions persist. Additionally, central banks worldwide are increasing their gold holdings, all of which are core drivers supporting gold prices. Year-to-date, gold has gained over 70%, and the short-term correction is just a normal pullback after a new high, not a trend reversal signal. The RSI indicator has indeed entered the overbought zone, warning of short-term volatility, but the MACD red momentum bars are still growing, indicating that bullish momentum is still being released. Once liquidity recovers, it is very likely to continue pushing towards the 4550-4600 range.

On the technical side, the 4450-4500 zone has become a short-term decisive level. The 4450 support below is the low point of yesterday’s rebound and is also supported by the 5-day moving average. If this level cannot hold, the bullish structure will be compromised. The 4500 integer level above is the current immediate resistance; once broken, it will open up new upward space. The daily chart shows a perfect bullish alignment, with prices moving along the upper Bollinger Band. The 4-hour chart also shows a solid bullish structure, and the hourly chart is steadily rising on the 5-day moving average. The overall bullish pattern is clear, but short-term overbought risks should be watched for potential pullbacks.

In trading, if the gold price falls back to the 4455-4470 range and stabilizes, consider a small long position with a stop loss below 4445, targeting initially 4500-4520. If broken, look for a move towards 4540-4580. Conversely, if the price rebounds near 4500 and faces resistance, consider a small short position with a stop loss above 4510, targeting 4480-4475. Avoid blindly chasing highs. Specific entry points should be adjusted flexibly based on real-time market movements.