FX.co ★ Gold technical analysis for April 24, 2014

Gold price is holding above short-term support at $1,275 but does not make any upward break out. Gold price remains inside the short-term downward sloping trend channel and it cannot break above the channel resistance at $1,290. If price remains inside the channel, it will accelerate downwards when support at $1,275 fails.

The trend remains down. Price is just above the short-term support so betting against the support before it is broken is very dangerous. If support fails, then we should bet on the downside with $1,250-$1,200 target. Short-term resistance is found at $1,290 where the channel boundaries are and at $1,300 where the Ichimoku cloud is.

The long-term view remains unchanged. The scenario where wave 2 has ended at $1,331 is gaining more chances every day that we do not see an upward bounce above $1,300. Long-term view remains bearish.