Gold price declined to new lows yesterday and is approaching important short-term support that could produce a tradeable bounce. My longer-term view remains bullish although there are risks of a push towards $1,180 in the short term.
Gold price is trading below the Ichimoku cloud. Price is in a bearish short-term trend. Gold price is approaching the 61.8% Fibonacci retracement support of the rise from $1,180 to $1,263. Price is making lower lows and lower highs. Resistance is at $1,228 and support at $1,210. There are also divergence signs in the short term and that is why I expect a reversal soon.
The weekly candle is testing the lower cloud boundary and the tenkan-sen (Red line indicator). Support is here. I would like to see a bounce from the current levels. My long-term view remains unchanged. I remain long-term bullish about Gold. Minimum target is at $1,300.
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