Red lines- bearish channel
Blue lines- bullish RSI divergence
Black lines- expected price path
Gold price is trading around $1,720. Despite Dollar strength, Gold bulls continue to defend $1,700. As we mentioned in previous posts, Gold is still inside the medium-term bearish channel, but price justifies a bounce higher towards $1,75-60. Gold price has a lot of chances of forming a higher low around $1,700-$1,720 area and starting another move higher towards the upper channel boundary. This scenario has not been cancelled yet. Traders better be patient to see how Gold behaves when it reaches $1,725 resistance and $1,710 support.
