The price of Gold rallied today and now is trading at 1,814. It has climbed as much as 1,821 today where it has found temporary resistance. As you already know, the Dollar Index is in a larger corrective phase, that's why XAU/USD is bullish.
Fundamentally, the BOJ maintained its BOJ Policy Rate unchanged at -0.10% as expected but it has expanded the yield target range. The Canadian and the US data came in mixed. Tomorrow, the Canadian inflation data could really shake the price of gold. Canada is expected to report lower inflation. In addition, the US CB Consumer Confidence is seen as a high-impact event and could jump from 100.2 to 101.0 points.
XAU/USD Strong Upside Pressure!XAU/USD dropped below the uptrend line but failed to stay below it signaling strong upside pressure. Now, it has ignored the 1,807 and it has reached the R1 (1,820) next upside target.
The 1,824 higher high represents an upside target and static obstacle. After its amazing rally, we cannot exclude a minor retreat. It could try to test and retest 1,807 and the uptrend line before resuming its growth.
XAU/USD Forecast!Consolidating above 1,807, testing and retesting the support levels, and registering only false breakdowns could bring a new long opportunity. Also, a new higher high, a valid breakout through 1,824 activates further growth and is seen as a new buying signal.