During the previous trading session, the XAU/USD exchange rate failed to exceed the 1,745.00 level. During Monday morning, the rate was testing the support formed by the 200-hour SMA near 1,715.00.
Given that yellow metal is pressured by the 55– and 100-hour SMAs in the 1,725.00 area, it is likely that some downside potential could prevail, and the price for gold could target 1,695.00/1,700.00.
However, if the predetermined support holds, it is likely that gold could trade sideways against the US Dollar within the following trading session.
