Blue lines- bullish channel
Red line- bearish RSI divergence
Gold price continues trading around $1,805 as price remains inside the bullish short-term channel. Price yesterday tested the lower channel boundary by making a low around $1,796. Channel support is at $1,794 and for now bulls remain in control of the trend respecting the key support levels. Two days ago we also got a new bearish rsi divergence but price remains supported inside the bullish channel. A break out and below the channel combined with the bearish rsi divergence is a bearish combination. So far we only have indications of a weakening up trend. No reversal confirmation yet. A break below $1,790 would be such a bearish reversal signal.
