The precious metal traded subdued on Monday. A lack of any major news kept gold prices in check. However, with the US markets reopening today, we could expect to see some volatility. Fed Chair Powell is slated to speak later in the week and the US economic data also picks up steam.
XAUUSD Poised to the Upside in the Near Term
XAUUSD is consolidating into a wedge pattern near the highs. With the support area of 1525.86 being tested, gold prices could push higher. However, the next main resistance area comes in at the previously established highs of 1554.50. A breakout above this level will see further gains being logged. Alternately, if the support area of 1525.86 gives way, gold prices could be looking at a correction.
