Yesterday, the XAU/USD exchange rate skyrocketed to the 2,030.00 level. During Wednesday morning, the rate exceeded the given level.
It is likely that yellow metal is in the overbought area as the 55-, 100– and 200-hour SMAs are located below 1,900.00. Thus, it is likely that a reversal south could occur in the nearest future.
Otherwise, it is likely that gold could continue to extend gains against the US Dollar within the following trading session. In this case the rate could face the resistance formed by the monthly R1 at 2,056.09.
