Key Arguments Supporting the Bullish Case for Next WeekGoldOANDA:XAUUSDFelix-WarrenKey Arguments Supporting the Bullish Case for Next Week (Bulls expected to drive a rebound in the latter half of the week) 1. Short-term pullback represents a technical consolidation after the rally, not a resumption of the bearish trend. Gold prices rebounded over $115 from the low of $3,995 last week, pushing the RSI into overbought territory. Bulls need to pull back to moving averages and key support levels to digest profit-taking and correct overbought indicators. Short-term moving averages on the 4-hour and daily charts have shifted from resistance to support; once the pullback confirms this support, bullish momentum will revive. 2. The $4,000 psychological level has established a solid, interim "iron-clad" bottom. After repeated testing by both bulls and bears, the $4,000 level has become a convergence point for three major buying forces: central bank gold purchases, safe-haven "buying the dip," and ETF inflows. As long as this level is not decisively broken, the current structure of stabilization and rebound remains intact, making every pullback an opportunity to initiate long positions. 3. Continued weakening of the US economy and recession expectations boost gold's value-preservation appeal. US annualized GDP growth for the second quarter was only 1.5%—significantly below market expectations—with data showing a continued slowdown in consumption and manufacturing. Markets are increasingly pricing in a mild economic recession; given gold's dual role as a safe-haven asset and an inflation hedge, capital will be allocated in stages to hedge against downside risks. 4. The broader trend of the US Dollar Index peaking and pulling back remains unchanged. Internal divisions within the Federal Reserve and waning US economic momentum have eroded the foundation for sustained dollar strength; a sharp single-day drop last week wiped out all previous gains. A weaker dollar will continue to boost USD-denominated international gold prices, serving as a core driver for the medium-term bullish outlook.