On Monday, September 14, gold prices weakened in choppy trading, with spot gold dipping to $4,253.54 per ounce, its lowest level since August 7, before closing 1.1% lower at $4,298.63. U.S. gold futures followed suit, sliding 1.3% to $4,351.90. The sell-off was driven by a combination of escalating Middle East conflicts, a sharp jump in oil prices, hotter-than-expected inflation data, and surging odds of a Federal Reserve rate hike, all of which weighed heavily on the precious metal.

Looking at the daily chart, gold has been trading below its moving averages since last week, with the averages aligned in a bearish formation, indicating a broadly weaker bias. After breaking below $4,300 and extending toward $4,250 yesterday, the metal still has room for further downside correction. Whether the downtrend can sustain its momentum will hinge largely on Thursday's Federal Reserve rate decision. If the Fed follows through with a hike, gold could push lower. Even in the unlikely scenario of no hike, a strong rebound appears difficult, as the short-term moving averages above form dense resistance, and a hawkish stance would only reignite rate-hike expectations. Both fundamental and technical factors lean bearish.

On the 4-hour chart, the metal maintains a weak consolidation pattern. The intraday rebound high of $4,318 serves as immediate resistance, with the key level to watch at the middle Bollinger Band around $4,340. Unless prices can reclaim and hold above that zone, the bearish structure will remain intact. On the downside, support is seen at yesterday's low of $4,253.