XAUUSD Analysis: Reaches new February high
|Gold spent the first part of Wednesday's trading session calmly, as it managed to reverse the from 23.60% Fibo retracement and approach the upper boundary of the breached three-week channel.
The better-than-expected US CPI had an immediately positive impact on the Greenback, as it managed to push the rate as low as the 1,318.10 mark. However, the 55– and 200-hour SMAs proved to be strong support, thus allowing for the yellow metal to surge up to a new February high of 1,355.00.
The Asian session started with no changes to the exchange rate, thus suggesting that bulls might finally be ready to surrender their positions. The nearest resistance is the weekly R2 at 1,362.40, while two strong support clusters are located at 1,340.00 and 1,325.00.
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