Ichimoku cloud indicator analysis of gold for February 9, 2018

analytics5a7d4f3e86ec1.png

Gold price is in a bearish short-term trend as price is below both the tenkan- and kijun-sen indicators. Gold is making lower lows and lower highs and is expected to move towards $1,300-$1,280 area once we break below $1,307.

Blue lines – horizontal support

Despite the risk off sentiment in equity markets and the weak Dollar, Gold looks like it has made an important top at the $1,365 level. The rejection at the long-term resistance was not a good sign. Gold price has turned short-term trend to bearish and will remain bearish as long as price is below the 4 hour Kumo. Resistance is at $1,338-47. Gold is trading around the 38% Fibonacci retracement of the entire rise since December lows. At $1,307 we also find the horizontal support at $1,307. If price makes a new lower low, I would expect Gold to move even lower towards $1,300-$1,280.

analytics5a7d4ff2bed5b.png

Red line – long-term resistance

On a weekly basis, Gold got rejected at the resistance trend line and is going to test the weekly Kijun-sen at $1,300. A weekly close below $1,300 will open the way for a move towards the cloud support at $1,270 and even lower.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Ichimoku cloud indicator analysis of gold for February 9, 2018

Won't your trader friends like this?
InstaForex
About the Author
InstaForex brand was created in 2007 and at the moment it’s a top choice of more than 2,000,000 traders. More than 1,000 clients open accounts with InstaForex every day. All InstaForex clients get great opportunities for effective trading on the forex market, as well as on-time technical and customer support

Leave a Reply

*