The first part of Wednesday’s trading session was spent in a calm manner, as the yellow metal was moving along the 55-hour SMA.
A strong surge mid-session pushed the pair 0.94% higher towards its one-week high of 1,348.00. These gains, however, failed to remain for long, as the prevalence of strong downside risks resulted in a plunge back down to the monthly PP and the senior channel at 1,330.00.
Technical indicators demonstrate that this bearish sentiment could allay during the following hours, thus allowing for a slight recovery. Gains are likely to be limited due to the massive resistance cluster formed by the 55-, 100– and 200-hour SMAs and the 23.60% Fibo located near 1,337.00. This area might eventually be breached during the remaining part of this trading week.
