Gold price spiked higher yesterday due to the comments regarding the Fed;s policy. Support at $1,130-43 was held and the following bounce pushed the price above short-term resistance at $1,166 but not above the important resistance level of $1,185.
Black line = trendline resistance
After the FOMC announcement, gold price reached the black trendline resistance and was rejected. As previously, it failed to break resistance remained below the trend line inside the cloud resistance area. Trend remains bearish. This is an opportunity to go short gold again with the trend line and the Ichimoku cloud as the stop level protects us.
Green line = support
Black line = resistance
Gold price is already pulling back after the rejection at the resistance trend line. The level of $1,145 is important support. In case of breakout, we should push lower towards $1,130 or even lower. Trend remains bearish as long as price is below the trendline resistance.
The material has been provided by InstaForex Company – www.instaforex.com