Yesterday, the XAU/USD exchange rate tried to surpass the support level formed by a combination of the monthly S1 and the Fibonacci 38.20% retracement at 1,275.00.
Given that the rate is being pressured by the 55-hour SMA, currently located at 1,277.32, it is likely, that some downside potential prevails in the market. A possible downside target is the 1,265.00/1,270.00 range.
On the other hand, the rate could trade sideways, trying to surpass the given resistance. It is unlikely, that the price for gold could surpass the 100-hour SMA at 1,282.99.
