FX.co ★ Gold price has formed important medium-term bottom

Gold price broke above the $1,610-15 resistance area and is now very close to its 2020 highs. Short-term trend is bullish. Price remains inside the longer-term channel and as long as price is above $1,586 I do not expect to see any major pull back.

Red lines - bullish channel

Gold price is at $1,638 after a strong day yesterday where price started to rise from $1,588. Another pull back towards $1,600 is not out of the question and I believe it is justified. However I would prefer to be neutral rather than bearish at current levels as price seems to have formed a medium-term bottom at $1,562-86 area.

In Ichimoku cloud terms, Gold price is trying to break out of the 4hour cloud resistance. Support is at $1,634, next at $1,626 and finally at $1,611. Resistance is at $1,650. If bulls manage to break above $1,650 and hold it, then we should expect new 2020 highs.