Gold price remains in downtrend. Gold price continues to make lower lows and lower highs. Gold price remains below the short-term downward sloping trend line and below short-term Ichimoku clouds. Short-term support is found at $1,280 while short-term resistance is found at $1,298-$1,300.

Gold price is heading towards its major support level of $1,260-70. It is very possible we do not see a considerable upward movement until we reach this level. However, it is also important to watch out for a potential break of the short-term downward sloping trend line. Breaking above $1,298-$1,300 will be the first bullish signal for a long time. Breaking above $1,300 could push the Gold price towards $1,315-20.

The daily chart shows clearly how close we are to major support above the Ichimoku cloud. It is very possible to move lower towards $1,260, but from now on chances for a bounce have increased considerably. Bears should start taking profits and lower stops to $1,300 while bulls should be ready as any time now we can get a bullish signal that could push the Gold price towards $1,340-50. Our longer-term view is bearish as the decline from $1,391 is impulsive and we will look to sell near $1,340-50.