The gold market experienced a dramatic reversal on Wednesday, July 29, catching many investors off guard. Before the Federal Reserve announced its decision to hold interest rates steady, gold prices had been under pressure, briefly dipping below the $4,000 mark during the session. However, once the Fed confirmed that the federal funds rate target range would remain unchanged at 3.50% to 3.75%, spot gold surged, climbing to an intraday high of $4,116 per ounce—its highest level since July 23. By the close of trading, spot gold had gained 0.94%, settling at $4,066.13 per ounce.

In early Asian trading on Thursday, July 30, gold extended its gains, briefly touching the $4,100 level, marking an increase of approximately 0.84%. This price action was particularly notable for its apparent contradiction with fundamental market expectations. Fed Chair Walsh delivered a relatively hawkish tone during his press conference, with three FOMC members even voting in favor of an immediate rate hike. Despite this, gold did not decline; instead, it led a broader asset rally. Independent precious metals trader Tai Wong accurately captured this paradox: "Although Chair Walsh's overall stance was quite hawkish, precious metals are leading a modest asset rebound—this feels like a relief rally following the Fed's decision to hold rates. How long this trend can last remains unclear. Walsh's wording was precise and quite complex, so the market may change its view after deeper reflection."

From a technical perspective, gold is currently trading under pressure below the $4,116 resistance level, with the overall structure remaining weak. The modest intraday rebound appears to be a technical correction rather than a reversal. The market has repeatedly tested the $4,116 resistance but failed to break through decisively. Upward pressure remains strong, bullish momentum is lacking, and the price center of gravity is gradually shifting lower. In the near term, $4,116 serves as a key resistance threshold. As long as the price stays below this level, gold is expected to maintain a weak, oscillating pattern. The preferred strategy is to lean bearish, initiating short positions when the price faces resistance during a rebound. Key support at $4,050 should be closely monitored, as a break below this level could trigger further declines.