On Tuesday (June 10) in the Asian session, spot gold fluctuated in a narrow range and is currently trading around $3,325.04 per ounce. Fluctuations in gold prices tend to be negatively correlated with the trend of the US dollar index. The US dollar index fell 0.2% on Monday, making gold denominated in US dollars more attractive to investors holding other currencies. This price advantage directly stimulated buying in the gold market, pushing gold prices to rebound quickly after briefly hitting a one-week low during the session. The weakening of the US dollar is partly due to the market's wait-and-see attitude towards the outcome of Sino-US trade negotiations and the brief decline in market momentum after the better-than-expected US employment data last Friday.

In addition, trade talks between senior officials from China and the United States in London have become the focus of the market this week. The talks are aimed at resolving differences between the two sides on tariffs and trade restrictions after the temporary truce agreement reached by the two sides last month brought a brief respite to the market. However, the uncertainty of the trade war still looms over the global economy. The outcome of the trade negotiations will have a profound impact on the global economy and gold prices. If the talks make positive progress, market risk appetite may rebound briefly, which will put some pressure on gold prices in the short term. However, in the long run, the supply chain reconstruction and global economic slowdown caused by the trade war will continue to support gold demand. Investors need to pay close attention to the progress of the talks, especially the specific commitments of both sides on tariff reductions and market opening.

Gold prices fluctuated and closed higher yesterday, failing to fall steadily below the middle track support, and there is also support from the extension line below, as well as bullish support such as the 60-day moving average. In the absence of a clear bearish outlook, the current decline to the support position is also an opportunity for bullish entry. The support from the extension line below, the support from the 60-day moving average, and even the support from the 100-day moving average are also opportunities for bullish entry, and we can still wait to test the $3,500 mark or higher again.

In summary, gold recommends paying attention to the support near $3,320 or $3,300 below today; and paying attention to the resistance near $3,343 or $3,363 above.

Disclaimer: The article is contributed by the market analyst from Bitop market observation team. The content is solely for personal opinions and sharing. The analysis is time-sensitive and provided for reference and discussion only. It does not constitute any investment advice. The market is risky, so investing should be done cautiously.