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For the last few days, I've been bearish Gold expecting a pull back towards $1,250 at least and I have been warning bulls to raise their stops. Gold finally has provided the reversal signals and is already more than 20$ lower than its recent highs.
The gold price has broken below the kijun-sen and has reached the Ichimoku cloud on the 4-hour chart as we initially expected. Short-term support is at $1,265-70. Resistance is at $1,280-85.Black line - long-term resistance trend line
Blue line - long-term support
Gold price is getting rejected at the long-term resistance trend line as we expected. Price is above the Weekly Ichimoku cloud and I expect the price to move and test the Kumo (cloud) support. As I said in the previous posts, I do not expect Gold to break the black trend line now but after a backtest of cloud support.
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