XAU/USD Sellers Seem Exhausted!
The price of gold increased in the short term and now is trading at 1,935. As you can see, the yellow metal reached the downtrend line which represents an upside obstacle. As long as it stays under the line, XAU/USD could come back down, it could resume its downside movement after a temporary growth.
On the other hand, jumping and stabilizing above the downtrend line may signal that the downside movement ended and that the rate could develop an upwards movement, it could print an upside reversal.
Gold Trading Conclusion!
The price of gold could drop towards new lows if it stays under the downtrend line. On the other hand, passing and stabilizing above the downtrend line may announce an upside reversal.
