Gold price remains in a bearish trend and a new rejection at the resistance of $1,175 was seen yesterday, followed by a break of short-term support at $1,160. Gold price is now testing important long-term support at $1,140-30 as expected since it broke below the triangle pattern.
Blue lines – triangle pattern
Red lines – projection of price movement
Gold price has broken below the triangle and the projections of an equal decline show that price could reach $1,000 or even lower. The trend is bearish as the price is making lower lows and lower highs and is below the cloud resistance.
Blue line – long-term trendline support
The weekly chart remains bearish as the price is below the Ichimoku cloud support and has broken below the blue trendline support. Next important support is the 2014 low at $1,130. I believe the new downward move has already started with the gold price target of $1,000. There will be confirmation when we break $1,130.
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