Ichimoku cloud indicator analysis of Gold for April 3, 2018

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The gold price has reached $1,345 yesterday and is now trading around $1,340. The gold price has bounced from our support area and is now challenging the long-term resistance area again.

Ichimoku cloud indicator analysis of Gold for April 3, 2018

Red lines - trading range

The gold price has broken above the 4-hour Kumo once again. The price found support at the 4-hour cloud and is bouncing. Next important resistance is at $1,345 (yesterday highs) and at $1,355. A break above $1,355 will open the way for a big break out towards $1,400 and higher. Support is at $1,320. Break below it and we head towards $1,300.

Ichimoku cloud indicator analysis of Gold for April 3, 2018

Magenta line - long-term resistance

Blue trend line -long-term support

On a weekly basis, the gold price remains below the long-term magenta trend line resistance but also above the weekly Kumo. I expect the gold price to eventually break the resistance to the upside and move towards $1,400. This scenario is still valid as long as the price is above $1,300. So any pull back is seen as a buying opportunity with stops at $1,300.