Gold price risks deeper drop on break below $4,300 ahead of Fed decision - investinglive.com

AI desk brief

Gold is sliding below $4,300 and traders are watching a potentially important technical breakdown ahead of Wednesday’s Fed decision. Immediate support is stacked around the 100-day moving average near $4,331 and the 50% retracement at $4,328, while the key neckline/support zone sits around $4,290-$4,310; a sustained break there opens $4,241 and potentially $4,000.

The move is being reinforced by a stronger dollar at a two-week high and elevated Treasury yields, with markets pricing roughly a 90% chance of a 25 bp Fed hike. Near-term direction now hinges on whether the Fed validates that pricing or surprises on guidance.