The situation in Iran shows no signs of improvement or a return to a ceasefire. On the contrary, the US and Iran continue to exchange fire, raising concerns about the potential prolonged closure of the Strait of Hormuz. Furthermore, according to the Wall Street Journal, US President Trump is currently inclined to escalate military action against Iran, with options including increased airstrikes and the deployment of US troops to occupy Kharg Island and Iranian territory along the Strait of Hormuz. Simultaneously, there are also reports of bombing suspected Iranian secret nuclear facilities. These factors contributing to the further deterioration of the Iranian situation are likely to continue to escalate in the short term, prompting gold investors to likely cash out in the gold market to mitigate related risks, putting downward pressure on gold prices.

A short position can be established around $4,021, with a short-term target of $3,930 for profit-taking and a stop-loss at $4,041.

Gold Price 1-Hour Chart:

Ferris Kwok

Chief Analyst
Success Finance Group

Email: ferris.kwok@successfn.com