FX.co ★ Gold below strong upside obstacle

Gold Sideways Movement!

The price of gold moves somehow sideways in the short term. It was trading at 1,754 at the time of writing. After jumping above the downtrend line, the price signaled that the downside movement is over and that the rate could develop an upside reversal.

The 1,761 former high represents an upside obstacle while the former lower low of 1,732 stands as a downside obstacle. Staying near 1,761 may signal an imminent upside breakout.

Gold Trading Conclusion!

Passing and stabilizing above 1,761 validates an upside continuation and helps the trader to buy the yellow metal.