Ichimoku cloud indicator analysis of gold for January 30, 2018

Gold has pulled back towards cloud support as expected after breaking below the tenkan- and kijun-sen. Trend remains bullish as long as price is above the 4 hour cloud, but we are now at an important junction. The weekly chart is showing rejection signs.

Gold price is testing the 4 hour Kumo (cloud) support at $1,335. So far, this could be seen as a healthy pull back before the up trend resumes. Resistance is at $1,343 and if it is broken we could see Gold move to $1,356. If support fails to hold we should see a test of $1,320-$1,310.

Magenta line -long-term resistance

Blue line - long-term support

Gold price has not managed to close above the long-term resistance trend line, and it is showing rejection signs. $1,300 is very important weekly support. A weekly close below it will open the way for a move towards $1,250-40. It is still too early to draw conclusions for the weekly chart, however the start of the week has been bearish for Gold.

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