FX.co ★ Gold price rejection at important Fibonacci and cloud resistance levels

Gold price has tested the short-term resistance at $1,575-$1,580 and now it shows rejection signs. Price is reversing at important Fibonacci and cloud resistance area.

Gold price has so far been rejected at the 4 hour Kumo (cloud) and at the 61.8% Fibonacci retracement level. These two rejections are a bearish sign. Price is turning back down below the cloud and if the kijun-sen (yellow line indicator) does not hold, then we have confirmation of the bearish short-term reversal.

The ABCD pattern if it plays out will push Gold price towards $1,530-40 at least. If price stays below $1,575-80 recent highs, then the chances of moving lower are high.