Technical analysis of gold for November 2, 2016

Gold price is moving towards our next targets of $1,300-$1,320. Trend remains bullish since the call I made for an important low at $1,250. Important long-term trend resistance is found at $1,350-60 and I do not expect to see it broken without a pullback first.

Blue line - trend line support

Gold price has broken through the daily kijun-sen (yellow line indicator) resistance. The next target is the Ichimoku cloud resistance at $1,325. Gold is in a bull trend as we mentioned from $1,250 while most expected the Gold price to crash, I was bullish focusing on a strong bounce. If this bounce is the start of a new uptrend it is still too early to tell.

Gold price has bounced off the 38% Fibonacci retracement of the rise from $1,045 to $1,375. Price has reached important resistance area where the weekly tenkan- and kijun-sen is found. The long-term green trend line resistance is the most important obstacle for bulls to see $1,400 and above.The material has been provided by InstaForex Company - www.instaforex.com

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