Gold price is trying hard to bounce, but buyers are not strong enough to push the price above $1,166 yet. However, as long as the price is above the support of $1,140-$1,130, bulls will still have good chances of another bounce towards $1,180-$1,200. My longer-term view remains bearish with a target between $1,000 and $900 as long as we break below $1,130.
Black line = upward sloping channel
Gold price remains below the Ichimoku cloud on the 4-hour chart as shown above. The price is sliding higher in the short-term upward sloping channel. Resistance is at $1,166-75. Support is at $1,147-30. The short-term trend is neutral and, I believe, this upward bounce is a part of a counter-trend correction. The longer-term trend remains bearish.
Orange lines = weekly bearish channel
Blue line = support
The blue line support at the 2014 lows of $1,130 is a very important support. A weekly close below that level will be a very bearish signal that will give me $1,000 or even $900 as target. The weekly trend remains bearish as the price remains below $1,220-30.
