Gold price continues its upward move above $1,200 towards the weekly resistance of $1,215 by the kijun-sen. Gold price has given us a buy signal and a trend-changing signal since it broke above the Ichimoku cloud at $1,180 and the bounce target was the area of $1,200-$1,220. My longer-term view remains bearish and, I believe, soon we will see a downward reversal.
Red line = support
Gold price is in a short-term bullish trend. The price is above the Ichimoku cloud. Support is at $1,193 and I will get a sell signal if that level is broken. I did not expect Gold price to move this high on the fisrt try. I expected a pullback to $1,175 and then a push above $1,200 but it seems that the market wants the price to go towards $1,220 straight away.
As the weekly chart shows, gold price is now testing the kijun-sen and tenkan-sen indicators at $1,215-20. The next level that gold price is going to reach is the 61.8% retracement at $1,240. The longer-term trend remains bearish as the price is still below the Ichimoku cloud.
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