The precious metal was trading below the 1850 level just ahead of the Fed meeting. However, the declines coincide with the Stochastics oscillator also moving close to the oversold levels.
As a result, we could see price attempting to breakout above the 1850 level once again.
Above this level, gold prices will challenge the 21 Jan highs near 1874.05.
Only a strong close above this level could trigger further gains.
To the downside, the support level near 1817.79 remains in play and could put a lid on further declines.
