Gold price showed some weakness signs at the end of last week but they seem to be short lived. Price made new highs above $1,910 and then turned lower towards $1,880. Price continues to trade inside the bullish channel and continues making higher highs and higher lows. So far the only bearish signal we got is a warning by the bearish RSI divergence.
Black lines - bearish divergence
Gold price has so far made a double top around $1,907-$1,912. The RSI continues making lower highs. This is not a good sign. However price has still not confirmed the trend reversal. Price made another higher low last Friday at $1,881 and as long as price is above this level, trend remains bullish. Major support by the bullish channel is found at $1,855-65. This is our first pull back target area.
