Gold price continues to trade inside a triangle pattern above the important support at $1,250 and below the short-term resistance at $1,275. The trend is neutral and traders had better wait.
Black lines = triangle pattern
Gold is trading inside the range. Gold bulls need to hold above $1,250 and break $1,280. Bears are looking for the exact opposite. Price is below the ichimoku cloud and this is another bearish sign but unless support fails, bulls feel comfortable.
Gold price continues to test the 38% retracement. This support level if broken will push price towards the green area where the Ichimoku cloud is and the 50 or 60% retracements. A break below the 38% retracement will be a big sell signal with the first target at $1,220.
The material has been provided by InstaForex Company - www.instaforex.com
