Gold price is trading at $1,893. Although technically trend remains bullish, we warned in our last analysis that price is vulnerable to a pull back. Today price broke below the 4hour tenkan-sen (red line indicator) and combined with the bearish RSI divergence, the chances of a deeper pull back increase.
Next key short-term support is at the kijun-sen (yellow line indicator) at $1,875. Gold price has many chances of making a pull back towards that level. Breaking below $1,875 will bring price lower towards the cloud support around $1,850. A pull back towards $1,850 is not out of the question, on the contrary is a healthy price behaviour, letting bulls gather more strength for their next leg higher.
