FX.co ★ Gold upside reversal

XAU/USD Down Channel Breakout!

The price of gold moves somehow sideways after jumping above the downtrend line. You knew from my analyses that the downside movement could be over if the rate jumps and stabilizes above the downtrend line.

You can see that the rate failed to come back down to test and retest the channel's downside line signaling that the downside movement is over and that the sellers are exhausted. It is traded at 1,936 at the time of writing below the 1,945 former high which represents an upside obstacle.

GOLD Trading Conclusion!

Jumping and stabilizing above the 1,945 former high could activate an upside continuation and could bring new buying opportunities.