Gold price pulled back from $1,260 area as expected. Gold price could still move lower towards $1,240-45 area before the next upward move towards $1,280-$1,300. I do not see a deeper pullback at the moment at hand, so I will be waiting for an upward reversal that can come even this week.
Gold price continues to trade above the Ichimoku cloud in the 4-hour chart. I expect the price to reach the Kumo (cloud) support and bounce off it. Short-term resistance is at $1,255-57. Support is at $1,245.
On the daily chart, the price has come back inside the Kumo after being rejected at the 61.8% Fibonacci retracement as we expected. The price should hold inside the Kumo otherwise it will be a bearish sign if it closed below it. Important resistance remains at $1,265 and if taken out we will go to $1,280-$1,300.
