XAU/USD short-term decline was stopped at $1,902 level as the bulls have struck back due to USD's drop. The yellow metal stands near resistance at $1,942, a bullish run beyond $1,956 daily static resistance confirms more gains.
Jackson Hole Symposium, Fed Chair Powell Speech, and the US data will definitely add high volatility on gold as well during the day. It is good to know that the bias is bullish as long as the price of gold is trading above $1,900 psychological level.
XAU/USD should resume its upwards movement if it jumps and closes above the red downtrend line. The price has found support right on the lower median line (lml) of the ascending pitchfork meaning that the upside is intact.
Technically, returning above $2,000 will confirm that the uptrend continues and that the gold price should reach new historical highs in the upcoming period.
- XAU/USD Trading Tips
Sell a valid breakdown below $1,900 level and below the black uptrend line. $1,800 psychological level represents an important downside target.
Buy a valid breakout (jump and close) above the red downtrend line, channel's resistance. This scenario will signal another bullish momentum towards the median line (ml) of the minor ascending pitchfork in the first instance.
