FX.co ★ Gold bulls face important resistance

Gold price is challenging the important resistance area around $1,900. Short-term trend remains bullish as price is making higher highs and higher lows after the $1,763 low. Support trend lines remain intact. So far price has respected support trend line.

Gold price is challenging the upper channel boundary. A rejection here could lead to another turn lower towards the lower channel boundary. So far there is no indication of a rejection or reversal. As explained above, key support is found at $1,865 and bulls must defend this level. Now it is not the time to be very optimistic as price is very close to key resistance. It is not time be bullish. If resistance is broken then we turn bullish. Now we are at least neutral, if not bearish.