Gold is trading in the green at the 1,805.46 level and it could resume its growth anytime. Surprisingly or not, the yellow metal jumped higher even if the Dollar Index has rallied in the short term.
XAU/USD stands in the buyer's territory, so further growth is natural. The US is to release its CB Consumer Confidence, New Home Sales, Richmond Manufacturing Index, and the HPI today. These figures could bring more action in Gold. Some poor figures could lift the price of gold.
XAU/USD Upside Confirmed!
XAU/USD retested the broken downtrend line and now it has jumped above 1,800 psychological level again. Stabilizing above this level may signal further growth within the up-channel between the lower median line (lml) and the inside sliding line (sl).
A minor consolidation above 1,800.64 former high could bring great long opportunities. As you already know from my analyses, the ascending pitchfork's lower median line (lml) represents strong dynamic support. It could still increase as long as it stays above it.
Technically, Gold validated its breakout above the major downtrend line signaling an upside reversal. 1,813.84 Friday's high is seen as the immediate upside obstacle. A minor consolidation above 1,800.64 followed by a new higher high could represent a good long opportunity.
1,834.04 high could be used as a potential upside target if the XAU/USD stays within the ascending pitchfork's body.The material has been provided by InstaForex Company - www.instaforex.com