Gold price brake below the short-term sideways consolidation of the previous days and made a new low yesterday. Prices bounced back into the resistance area of the previous consolidation range. An overall trend remains bearish but gold can be at the final stages of its bearish market.
Blue line - resistance
Gold price is trading below the Ichimoku cloud. The short-term trend remains bearish. The price reached a new lower low and the stochastic oscillator has given a bullish divergence as it failed to hit a new low also. Resistance is seen at $1,096 and next on is expected at at $1,105. Support is found at $1,1074.
Blue line - support
The daily chart shows the price is below the Ichimoku cloud trading around the previous lows levels. The Stochastic oscillator is at oversold levels with the inclination to turn higher. This implies that a bounce should be expected and any downward move is currently limited. Daily resistance is found at $1,120.
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