Gold price was rejected by the Ichimoku cloud resistance in the short-term and remains inside the downward sloping channel confirming the bearish medium-term trend. A bigger bounce will come only if price manages to break above $1,225.

Blue line = support

Red line = resistance

Green lines = downward sloping channel

Gold price is below the cloud resistance and therefore the trend remains bearish. Only a break above the resistance at $1,222-25 could signal a bigger bounce towards $1,250. Failure to hold above support at $1,197 will be another sell signal with the target at $1,180.

The weekly chart remains bearish. With price below the kijun-sen (yellow line) and the red cloud, this means that bears are still in control despite the bounce towards $1,300. The rejection on a weekly basis was a bearish sign that could imply more downside towards even new lows below $1,080.