FX.co ★ GOLD Upside Breakout Expected!

XAU/USD is trading at $1,963 level at the time of writing, below $1,969 today's high. The bullish bias could attract more buyers, so the price could ignore the immediate resistance levels.

Technically, the outlook is bullish after several failures to reach the $1,900 level and after the most recent false breakdown below the major uptrend line. Another higher high and a valid breakout above the near-term obstacles suggests buying with the first target at $2,000 level.

XAU/USD is somehow expected to climb higher after retesting the black uptrend line and the Pivot Point ($1,937) level. Today, it has decreased a little after reaching the R1 ($1,969) level.

Personally, I believe that the price will try again to breakout above the R1 and to take out the symmetrical triangle's resistance. A valid breakout (jump, close, retest) above the R1 ($1,969) and above the downtrend line should bring a great long opportunity.

• GOLD Trading Tips

Buy a valid breakout from the symmetrical triangle and above the R1 ($1,969) level. This scenario suggests a strong upside movement beyond the $2,000 psychological level. The R3 ($2,028) and the $2,075 are seen as targets.

Sell only a new lower low, drop below $1,906, and under the $1,900 level. The $1,800 level could be used as a downside target.