Gold opened at around 4078 today. After dipping to a low of 4065 in the Asian session, it quickly rebounded and is currently trading around 4260, showing a strong reversal and upward trend. Bulls broke through the previous consolidation range with the help of positive news, and market sentiment has clearly improved. However, it's important to note that a strong short-term rally doesn't mean you can blindly chase the rally. This round of gains is largely driven by short covering and safe-haven buying. While news catalysts have boosted the upward momentum, the continuous rise has also accumulated significant short-term profits, and the risk of chasing the rally is gradually increasing.

From a technical perspective, the daily chart has ended its previous pattern of continuous consolidation and weakness. A strong bullish candlestick broke through multiple short-term resistance levels, and the 5-day moving average has turned from downward to upward. The short-term trend has officially shifted from weak to strong, and the market structure has been significantly improved. The 4-hour chart shows consecutive large bullish candles, with the Bollinger Bands widening upwards and the MACD golden cross continuing to expand, indicating that bullish momentum still holds the upper hand. However, at the same time, the RSI indicator has entered the overbought zone, suggesting that there is a need for a technical pullback correction in the short term, and the cost-effectiveness of chasing the rally has obviously decreased. The key support level has now moved up to the 4220-4200 area, while today's opening low of 4065 has become an important defensive position for this round of gains. As long as this position is not effectively broken, the structure of this rebound will remain intact. The key resistance levels to watch are 4280 and 4320. If the price touches these levels for the first time, be wary of a pullback due to profit-taking. With the previous trading range effectively broken, the short-term trend for gold has gradually shifted from range-bound to bullish.

In terms of trading strategy, it is recommended to focus on buying on dips, with light short positions at higher levels as a secondary approach. Avoid blindly chasing rallies. If the price retraces to the 4220-4200 range and stabilizes, continue to look for opportunities to buy on dips. Currently, the price is around 4260, which is in the middle of an uptrend, and technical indicators have entered overbought territory. It is not recommended to chase the price with heavy positions. Waiting patiently for a pullback confirmation before entering the market is often more likely to succeed than chasing rallies emotionally.