Gold price has broken out of the bullish flag pattern as we mentioned in previous posts, but price has now reached important cloud resistance area. The bullish trend remains intact and we remain confident that Gold price will break inside the cloud resistance and turn trend to neutral in Ichimoku cloud terms.
Gold price is below the Ichimoku cloud in the Daily chart. Price is very close to the cloud resistance at $1,813. Price is trading above the tenkan-sen (Red line indicator) and the kijun-sen (yellow line indicator). Support by the tenkan-sen is at $1,775 and by the kijun-sen at $1,758. The tenkan-sen has crossed above the kijun-sen and this is a sign of strength. However bulls will need to break above the Kumo (cloud) in order to confirm the change in trend.
