Yesterday, the XAU/USD exchange rate reversed north from the monthly S1 at 1,679.34. During Tuesday morning, the rate exceeded the 1,700.00 level.
It is likely that yellow metal could gain support from the 55– and 100-hour SMAs in the 1,700.00 area and appreciate against the US Dollar in the short term.
Meanwhile, note that the exchange rate would have to exceed the 200-hour SMA and the monthly PP in the 1,720.00 area. If the given resistance holds, it is likely that gold could consolidate against the Greenback in the short run.
