Gold price is trading around $1,788. Price is still below the recent high and resistance of $1,794 and we continue to feel that the most probable scenario is for price to move lower towards $1,755-45. We use the Ichimoku cloud indicator to identify key support and resistance levels.
Gold price found support at the kijun-sen (yellow line indicator) and bounced off of it and is now above both the kijun-sen and the tenkan-sen (red line indicator). So far bulls support price. The kijun-sen is at $1,774 and a break below this level will open the way for a move lower towards cloud support at $1,755. If bulls manage to break above $1,794, we should expect the major resistance area of $1,810-30 to be tested next.
