FX.co ★ Gold reaches its all time highs

Gold price has reached the $1,900 level. This is an important price level as Gold made it this far back in 2011 and then pulled back towards $1,040 area. Having reached this level again is very promising for the coming years. Even if price does not manage to hold this level in the short-term, I expect to see price break it over the coming months.

Gold price is clearly in bullish trend. There is no sign of a reversal or a bearish divergence yet. Gold is expected to break to new all time highs. Gold price could make a pull back but I do not expect to see a major top. I expect to see a pull back and a new higher high.

Green lines - equal size rise

Blue rectangle- support area

Gold price as we mentioned in our last analysis is expected to reach $1,964 area if it is going to make an equal rise to the first leg up. The break out zone around $1,700 is important medium-term support. In the short-term I would not expect a pull back below $1,800. Gold is entering a high volatility phase and traders better not go against the trend.