Gold remains at the back foot on fragile geopolitical situation

Gold holds in red for the second consecutive day on Wednesday and pressure the floor of seven-day range ($4453), also moving into lower part of short-term bear-channel (off $4889, mid-Apr peak).

Fading hopes of a peace deal in the Middle East revive inflation concerns and hawkishness in the interest rate outlook that adds pressure on the yellow metal.

Weakening structure on daily chart (the price remains under daily cloud for almost two weeks / negative momentum studies / DMAs in bearish configuration) keeps the downside at increased risk.

Eventual sustained break of pivotal $4500 support zone (after a multiple rejections) would generate bearish continuation signal and expose next key supports at $4401 (Fibo 61.8% of $4099/$4889 upleg); $4388 (200DMA) and $4367 (bear channel support line), violation of which would accelerate short-term downtrend.

Res: 4494; 4535; 4585; 4594
Sup: 4401; 4388; 4367; 4300