On Tuesday, the XAU/USD exchange rate traded sideways in the 1,484.00/1,488.00 area. During today’s morning, the rate jumped to the 1,494.00 level.
On the one hand, bears could prevail in the market, and the price for gold could reverse south in the nearest future. However, it is unlikely that that it could drop lower than 1,489.00 due to the support formed by the 55-, 100– and 200-hour SMAs.
On the other hand, yellow metal could continue to extend gains against the US Dollar within the following trading session. In this case the exchange rate could target the resistance level formed by the monthly PP at 1,498.29.
