FX.co ★ Gold technical analysis for February 29, 2016

Gold price made a strong pull back last week towards important medium-term support at $1,200-$1,210 and held above it. Now price is bouncing higher and there is a big chance that we see a strong upward move as long as we hold above $1,210.

Yellow line - support

Gold price has back tested Kumo (cloud) and trend line support. Price held above it and is now bouncing towards short-term resistance at $1,232. The current price formation could be a bigger triangle pattern and as long as we are above $1,210 we remain bullish short-term.

On the weekly chart price remains above the cloud and continues to hold above the critical support of $1,200. Oscillators are overbought but Gold price could still have more upside. The downside could come after we see some bearish divergence signals. We are still without any divergence signal.