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Gold prices (XAU/USD) rebounded from a gap-down open on Monday, trading around $4,732 after touching an intraday low of $4,632. The lack of strong upward momentum is attributed to heightened US-Iran tensions and uncertainty surrounding the Federal Reserve's monetary policy outlook. While geopolitical risks typically support gold as a safe-haven asset, the Fed's potential rate-cutting cycle and inflation concerns are creating a tug-of-war in the market. Traders are closely monitoring the Fed's next moves and how geopolitical developments might influence short-term volatility. The key technical levels to watch include $4,700 as immediate support and $4,850 as resistance, with a break above the latter signaling potential for further gains.
