Black line- support trend line
Gold price is trading around $1,966 erasing yesterday's losses and trading above yesterday's highs. On a technical perspective price has successfully tested support and is showing reversal signs. According to the Ichimoku cloud in the daily chart, trend remains neutral. Price is above the tenkan-sen (red line indicator) and this is a positive sign. Resistance by the upper cloud boundary is at $2,001. Price respected the black upward sloping support trend line despite closing below it yesterday. Not only is price bouncing today, price is above yesterday's highs. Cancelling the bearish signal we got yesterday when price broke below the trend line. In the 4 hour chart we have no clear picture when using the Ichimoku cloud indicator.
