A rebound is expected near the 4000 mark!

Trump announced a renewed blockade of Iran and imposed a 20% protection fee on cargo shipments through the Strait of Hormuz, causing oil prices to surge. This, coupled with rising expectations of a Fed rate hike, forced gold prices to plunge near the $4,000 mark. The short-term rebound structure was broken by the news, but it's not advisable to chase the downtrend. Instead, with the negative news largely priced in, a short-term long position can be considered based on the $4,000 level, with resistance at $4045-50. If the rebound fails to break through this level, a short position can be considered.