Gold is in a downtrend and has most probably made a short-term top at $1,283. Even if price makes a new higher high, Gold is expected eventually to come down towards $1,200-$1,150 for a corrective pullback. If not yet complete, we are at the final stages of the rise from $1,045.
Price has broken below the Kumo (cloud) on the 4 hour chart. Price is forming a bearish flag. As I mentioned yesterday, we could see a back test of the Kumo at $1,245-50. The trend is bearish.
The weekly chart has given a reversal signal. Combined with an overbought stochastic, we should expect a downward move at least towards $1,200. I cannot rule out one more new high towards $1,300, but bulls should be very cautious and wait to re-enter for long positions, once price moves below $1,200-$1,190.
