At $1,887-88, gold is making new highs today. The Kumo (cloud) is still above the Ichimoku cloud indicator in the 4 hour chart at $1,840-45, and trend is still bullish. We use the Ichimoku cloud indicator in the 4 hour chart to identify short-term support levels.
First, the tenkan-sen (red indicator) provides support at $1,877. If the 4 hour cloud is below this level, the kijun-sen (yellow line indicator) will be at $1,860. To continue trading above the Kumo, we must maintain support at the tenkan-sen (red indicator), currently at $1,877.
To find further support, we look to the Kumo, which stands at $1,840-45. The candlestick pattern is above the Chikou span (black line indicator) in the 4 hour chart. The Chikou span is supported by $1,845, coinciding with the Kumo. If the candlestick pattern is below $1,845, our outlook will change from bullish to bearish. Until then, bulls remain in control.