Gold price made a new marginal new higher high. Medium-term trend remains bullish as price continues to make higher highs and higher lows. Gold price is heading towards $1,262. Last weeks low is now very important support.
Blue line – bearish divergence
Purple lines – bullish channel
Gold price is now targeting the 50% Fibonacci retracement level and the upper channel boundary at $1,262. The upside is limited for Gold and traders should not chase the bullish side at current levels. Gold price is about to complete the entire leg up from $1,196 around $1,262 and at least make a pull back towards $1,230. The RSI is already giving divergence signs. Short-term trend change level is found at last weeks lows at $1,232.
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