This Thursday, the price of gold is increasing for the first time in four trading days as bears take a break in anticipation of new economic data coming out of the United States.
On the four-hour chart, the price of gold continues to trade within a pennant, with bulls continuing to protect the downside at the bottom border of the formation at $1,897.
It then becomes a solid support when the bullish 50-Simple Moving Average (SMA) develops. 
The 21SMA, which is somewhat bearish and is currently around $1,913, continues to limit the immediate gains.
The midline is being gradually approached by the Relative Strength Index (RSI), which briefly went below it during early European trade the day before.
When the four-hour candlestick closes over the 21SMA barrier, the recovery will advance toward the higher aligned at $1,925, the pennant’s edge.
However, gold buyers initially need to establish a firm footing above the $1,920 round mark.
On the downside, a strong decline toward the $1,870 intermittent cap cannot be considered out if sellers maintain control below the previously indicated major support.
A test of the rising 100SMA at $1,854 will be required for further falls.
