The yellow metal’s recovery found resistance in the 1,740.00 level. Meanwhile, the price almost ignored the 55-hour simple moving average and the 38.20% Fibonacci retracement level. Namely, round price levels managed to provide more impact than technical indicators.
In the meantime, the recent low levels were used to draw a channel down pattern, which has guided the metal since early February. In theory, the price should aim at the resistance of the pattern. However, it has already tested the lower trend line of the pattern twice.
In the near term future, the price could be pushed down by the 100-hour simple moving average, which was approaching the price from above. A decline could once again test the support of the 1,710.00 level and afterwards the 1,700.00 mark.
On the other hand, a failure to push the price down by the 100- hour SMA could result in a surge to the upper trend line of the channel down pattern and the 200-hour SMA.
