Despite the rally from the equity markets, gold prices managed to hold on to the gains. After falling for two consecutive days, gold reversed direction into Friday’s close. However, Friday’s close is still far off from the intra-week highs made earlier. Overall, gold prices remain somewhat volatile and possibly biased to the upside.
XAU/USD Testing the Trend Line
XAUUSD is seen re-testing the trend line from below. If this stalls the current gains, we anticipate a move to the downside. The lower support at 1534 will come into the picture upon a break down from the lows near 1547. As long as the major support level of 1534 holds, gold still has room to the upside. But a close below this support will see 1513 support as the next likely target
