Gold is trading in the red at 1,808 and it seems under high selling pressure. It has failed to stay in the buyer's territory. That's why we can expect to see a temporary decline. The yellow metal could increase again if the US Dollar depreciates again.
On the other hand, DXY's rally could force XAU/USD to slip lower. The price has recovered after reaching 1,795.12 today's low. The Australian Monetary Policy Meeting Minutes could bring some action of Gold in the early morning.
Also, the ECB and the manufacturing and services data could bring a clear direction for the upcoming period.
XAU/USD Trading In The Red!
Gold could test and retest the ascending pitchfork's median line (ml) and the weekly pivot point 1,812.68. Staying under these levels may bring the sellers into the game again.
Personally, I believe that coming back above the median line (ml) and consolidating could indicate a potential growth towards the first warning line (WL1) of the major descending pitchfork.
Trading Conclusion!
We may have a new long opportunity if the price comes back above the median line (ml). A new higher high, a valid breakout above the R1 (1,833.82) could really validate a larger growth.
The material has been provided by InstaForex Company - www.instaforex.com