Gold price is pulling back downwards towards $1,280. As we explained in our last analysis, there are a lot of chances that the entire pull back is not over and we could soon see another leg lower towards $1,270.
Green rectangles – support areas
Black lines – expected path
Purple lines – bullish channel
Gold price tried to break its recent highs but price got rejected and is pulling back down again. Support is at Friday’s low at $1,276.50. If this level is broken, I expect Gold price to move towards $1,270 at least. Price remains inside the bullish channel making higher highs and higher lows. There is no sign of a trend reversal yet or the end of the uptrend.
The material has been provided by InstaForex Company – www.instaforex.com