FX.co ★ Ichimoku cloud indicator analysis on Gold for November 16, 2021.

Gold price is breaking below key short-term levels, suggesting a bigger pull back should be expected. Although trend is bullish as price is still above the 4 hour Kumo (cloud), price is vulnerable to more downside as it breaks below $1,850.

Gold price is breaking below the kijun-sen (yellow line indicator) after our warning from the break below the tenkan-sen (Red line indicator). The RSI is turning lower from overbought levels and price is now expected to move towards the cloud support and test it. The upper cloud boundary is at $1,831 and this should be the first important test. Entering the cloud would turn trend to neutral. Price has most probably completed the entire upward movement from $1,758 to $1,876. The bearish divergence by the RSI in today's new high was a warning that a correction was coming. Now remain patient and see if the cloud support is held.