The gold continued to rally against the buck after making a rebound from the bottom trend-line of a medium-term ascending channel. By the end of the day the pair has reached resistance near the 1,294.50 mark and made a rebound amid optimistic economic outlook expressed in the FOMC Meeting Minutes. Accordingly, in first half of this trading session the pair might temporarily retreat to the weekly PP located. However, the deeper plunge is unlikely due to support provided by the rising 55-, 100- and 200-hour SMAs. On the other hand, as bearish momentum comes to an end, the rate might actually stay within boundaries of junior ascending channel and try to bypass the above resistance one more time. In general, appreciation of the bullion is expected to last at least for another three days.
