The gold uptrend is still intact as long as the price is trading above the uptrend line. It's trading at $1,930 level and it could continue to drop if the US Dollar appreciates further versus other major currencies.
The next downside target stands at $1,900 psychological level and at the uptrend line. Gold has increased within the upward channel, but the failure to stay and consolidate above the $2,000 level has developed a minor descending channel.
The bias is bullish, so Gold could still come back higher if it stays within the up channel's body and above the $1,900 level.
- GOLD Trading Tips
Sell a breakdown, drop, below the uptrend line and most important below $1,879 former low. The $1,800 psychological level could be used as an important downward target.
Buy from above $2,000 level if the price breaks out from the minor descending channel. A comeback above the $2,000 psychological level will certainly suggest buying as the gold price is expected to reach new all-time highs.
