In our last analysis we noted that although Gold price remained in a bearish trend, Gold price fully justified a bounce towards $1,725. Today's high so far is at $1,720. We warned bears that they should be cautious and not get overconfident as a bounce was justified as price was testing major support levels.
The RSI is turning upwards from oversold levels. Trend remains bearish. However price could continue this bounce higher towards our bounce target of $1,725. Important short-term resistance is at $1,763 and next at $1,800. Support remains key at $1,670 where we find the long-term upward sloping support trend line. A weekly close in Gold price above $1,760 will be the first sign of a possible trend reversal. Still too early, but just keep this level in mind.
