Gold price is under pressure. Bulls managed to briefly push price above the blue downward sloping resistance trend line, but they were not strong enough to break it. Price got rejected once again at the blue resistance trend line, confirming its importance. Gold price is also testing the medium-term black support trend line coming from $1,625 and touching the $1,800 and $1,929 lows. The near term chart suggests that a triangle pattern is forming with lower highs and higher lows. The fact that the previous trend was bearish, the chances favor a downward break of the triangle and a push in price towards $1,900. Bearish scenario gets cancelled if bulls push price above $1,970.
The material has been provided by InstaForex Company – www.instaforex.com
Blue line- resistance
Black line- support
Gold price is under pressure. Bulls managed to briefly push price above the blue downward sloping resistance trend line, but they were not strong enough to break it. Price got rejected once again at the blue resistance trend line, confirming its importance. Gold price is also testing the medium-term black support trend line coming from $1,625 and touching the $1,800 and $1,929 lows. The near term chart suggests that a triangle pattern is forming with lower highs and higher lows. The fact that the previous trend was bearish, the chances favor a downward break of the triangle and a push in price towards $1,900. Bearish scenario gets cancelled if bulls push price above $1,970.
The material has been provided by InstaForex Company – www.instaforex.com
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