The precious metal was giving up the gains made earlier in the week. The declines were set off by economic data from the US which also saw a strong durable goods orders report. Headline durable goods orders rose 2.4% on the month despite a 0.1% decline on the core.
XAU/USD Declines Could be Limited in Scope
Despite the retracement in the XAUUSD, price action could be limited to the price level of 1562. If support can be formed here, we expect prices to rebound once again.
But a lot will depend if the XAUUSD will be able to progress higher. To the upside, the resistance level of 1594 remains in place.
