Gold Price Analysis: The bears cannot find a way through $1912.50

Gold 4-hour chart

Gold is still in full consolidation mode but the 4-hour chart is throwing up some interesting price action. Looking at the chart below the price has now formed a formidable support level at USD 1912.50 per troy ounce. The circles on the chart mark the fact the price has hit the level five times with some shadow (wicks) piercing the level but no close below. 

The trendlines are also important on this chart the black one has been broken to the upside and now it has been tested twice you would be forgiven for thinking the price would move higher off the retest. The blue trendline could be a resistance zone should the price rally slightly. It is not as significant as the black one as there have not been as many touches. 

The indicators are mixed right now. The MACD histogram is green while the signal lines are under the zero level. The Relative Strength Index is pulling away from the oversold area but interestingly it looks like the indicator has made a bullish divergence. 

Make no mistake the trend is still an uptrend in the yellow metal. Like some of the other major asset classes, the price may move into a more critical level leading into the September FOMC meeting. A break of the previous wave high at USD 1992.42 per ounce is the level to watch if you are still bullish as a break could indicate the all-time high may be challenged again 

Additional levels