Gold price has made new lower lows yesterday at $1,243, just $3 away from our short-term target of $1,240 that I've been calling since we broke below the $1,270 support. The trend remains bearish. The Ichimoku cloud indicators remain bearish. The bigger outlook is still bearish.
The 4-hour chart remains bearish as price is below the Ichimoku cloud and above the Chikou span. Price is making lower lows and lower highs. Short-term resistance is found at $1,257. If broken, we could see a bounce towards $1,270. Support is set at $1,240 where the previous important low is from early June.
Gold price is now testing the previous June low at $1,240. The trend is bearish and the triangle consolidation has broken to the downside. The bigger picture remains clearly bearish with targets below $1,180. A back test of the broken trend line in the weekly chart cannot be ruled out at the moment. This means a back test towards $1,300 is still possible. However, this scenario is not our favorite.
