On Friday, the XAU/USD exchange rate re-tested the lower boundary of the medium-term ascending channel. During today’s morning, the rate was testing the monthly R1 at 1,773.62.
It is likely that yellow metal could gain support from the 55– and 100-hour moving average near 1,765.00. Thus, some upside potential could prevail in the market. In this case the rate could exceed the 1,780.00 level.
However, if the given resistance level holds, it is likely that gold could trade sideways against the US Dollar within the following trading session.
