Spot gold technical analysis: Range-bound and bearish, watch for resistance at $3890 and support at $3840

1. From a technical perspective, spot gold is currently trading within a narrow range of $3,913 to $3,967 per ounce, with directional signals appearing neutral. A breakout from this range may provide guidance for future price movement. 2. The decline starting from $4,207 can be divided into a five-wave structure, which usually indicates there is still potential for a rebound; however, another wave count suggests that the downtrend has not ended yet and may form a double zigzag pattern. 3. Forecast analysis of the decline from $4,198 indicates that gold prices may fall back to the $3,820 to $3,860 range. Considering the current signals, the downward tendency appears more prominent. 4. If gold prices break above $3,967, a further rebound toward the $4,000 to $4,030 range is possible. On the daily chart, after bouncing from the $3,890 support, prices have dropped back near the June 30 low of $3,943, which is also a bearish signal. 5. If prices fall below $3,890, this may confirm that the decline could extend to $3,840, which is the 161.8% projection level of the drop from $4,512.