Gold price is trading around $1,890. Short-term trend remains bearish according to the Ichimoku cloud indicator and so far there is no sign of strength. Bulls are trying to overcome the first short-term resistance at $1,890 in order to make a step for a move higher towards $1,908.
Gold price needs to stabilise above the tenkan-sen (red line indicator) in order for bulls to hope for a bigger bounce higher towards the kijun-sen (yellow line indicator) at $1,908. Current market conditions justify a bounce higher for Gold towards $1,910 as the RSI is at oversold levels and diverging in the 4hour chart. A relief bounce is justified and wanted in order to test the power of both bulls and bears.
