XAU/USD Analysis: Reaches resistance at 1,294.50
|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.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.