Gold Price on Friday: 4000—The Final Line of DefenseGoldOANDA:XAUUSDKa_GOLDGold Price on Friday: 4000—The Final Line of Defense 2-Hour Chart: The critical zone of 4070–4075 has been decisively broken to the downside. The current price, at 4024, has entered a "vacuum" below the existing chart structure—technically speaking, there is no clear support structure remaining underneath. The direction indicated by the white arrow on the chart (the 3920–3960 range) is currently being validated by the market. This represents a structural breakdown, rather than a standard, routine pullback. The "consolidation range" previously marked on the chart is now completely invalidated. The current market movement aligns perfectly with the expectations outlined in our analysis over the past two days. On Thursday, the price of gold plunged by more than 2%. The driving force behind this was somewhat counterintuitive: safe-haven capital flowed into U.S. Treasuries rather than gold. Amid escalating tensions in the Middle East and growing concerns regarding credit within the artificial intelligence (AI) sector, investors opted for U.S. Treasuries as a hedge. This caused the yield on the 10-year U.S. Treasury note to drop sharply by 15 basis points, falling to 4.963%. Although lower yields are theoretically favorable for gold, the capital flowed directly into the Treasury market, effectively "bypassing" gold. Key Variable for Friday: PMI Data If the price components within the PMI data show strength, or if the University of Michigan’s inflation expectations exceed 3.0%, gold is likely to remain under pressure. Conversely, if the PMI data weakens and inflation expectations decline, gold may see a rebound. With the price having broken below the lower boundary of the 4080 consolidation range, the technical outlook now points toward the 4000 level. Core Assessment: Following this breakdown, the area around 4020 has become a "no-man's-land." We must now observe how the price reacts as it tests the 4000 mark. Bearish Strategy (Following a Breakdown): If the gold price attempts a rebound but encounters resistance within the 4060–4080 range, consider opening a small short position. Place the stop-loss above 4090. Target the 4020–4000 range. Rationale: A rebound following a structural breakdown often presents a prime selling opportunity, and the 4060–4080 range serves as a logical zone for initiating short positions.