FX.co ★ Gold: 1,934 as key resistance

The price of gold rebounded after reaching the 1,912 today's low. It's trading at 1,925 at the time of writing. In the short term, it seems undecided, that's why we have to wait for fresh trading opportunities. USD's depreciation helped the XAU/USD to come to turn to the upside.

Fundamentally, the yellow metal continues to move sideways as the US reported mixed data on Friday. Tomorrow, the Eurozone and UK data could bring some action. Still, the most important event of the week is represented by the US inflation data publication. The US is to release the CPI and Core CPI data on Wednesday. Higher inflation could push the XAU/USD down, while lower inflation could boost the price of gold.

XAU/USD Undecided!

From the technical point of view, XAU/USD failed to take out the 1,931 resistance. It is moving somehow sideways in the short term. It's trapped between the lower median line (lml) and the median line (ml).

As you can see, it has failed to reach and retest the lower median line signaling upside pressure. Staying near the median line (ml) may announce an imminent breakout.

XAU/USD Outlook!

A valid breakout above the median line (ml) and through 1,934 represents a buying opportunity.