FX.co ★ Gold technical analysis for January 7, 2016

As we expected, the gold price continues moving higher towards our first target of $1,095-$1,100 where the 38% Fibonacci retracement of the decline from $1,190 is found.

Blue lines - triangle (broken)

The gold price is above the Ichimoku cloud on the 4-hour chart and has already broken above the triangle pattern. The 38% Fibonacci retracement has been reached and bulls should be very cautious now as this is important short-term resistance.

The weekly chart shows the strong bounce we so long expected after the multi-week sideways movement. The first target is the kijun-sen (yellow indicator). Next is the Ichimoku cloud. I remain bullish as long as the price is above $1,070.