Gold price remains inside the trading range triangle pattern. However, today we see some strength signs as Gold price moves higher towards the upper triangle boundary near the $1,100-$1,105 resistance area. With Non-Farm Payrolls announced today in the US, traders should be patient as volatility is expected to rise.
Blue line – trendline resistance
Green lines – triangle pattern
Gold price is trading above the Ichimoku cloud but still inside the triangle pattern. I do not expect the price to break above or below the triangle before the NFP announcement today. Traders need to be very cautious and try not to front-run the announcement.
Blue line – broken long-term support
The weekly chart remains bearish; however, this week’s candle is very important as there are signs of increased chances of a bounce. The expected bounce could reach the tenkan-sen (red indicator) towards $1,140 and the bearish longer-term view will be still valid as long as the price is below the weekly cloud. A break above $1,105 will bring a bullish short-term pause to the long-term bearish trend.
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