Gold price got rejected at $1,222 and the fake breakout produced a short-term pullback towards the first short-term support kine at $1,200. Bulls still remain confident since support at $1,200 was held. A weekly close above $1,222 will signal that a move towards $1,250-70 is expected.
Blue line = resistance
Red line = support
Gold price remains between two important levels of $1,180 and $1,222. The price tried to advance above $1,222 on Monday but the breakout turned to be fake. Gold price reversed towards short-term support at $1,210-$1,200. The price is above the Ichimoku cloud. Bulls are in control of the short-term trend as long as the price is above $1,190.
The weekly chart is still looking bearish if the week closes like this. The price is below the Ichimoku cloud and below the kijun-sen yellow line. This week is crucial for the medium-term trend. My longer-term view remains bearish with $1,000 as target.
The material has been provided by InstaForex Company - www.instaforex.com
