The yellow metal has declined by 107 pips or 0.59% against the US Dollar on Wednesday. A breakout occurred through the lower boundary of an ascending channel pattern during Wednesday’s trading session.
Given that breakout has occurred, bearish traders are likely to continue to drive the exchange rate lower during the following trading session. The potential target for bears will be near the 1780.00 area.
However, the 100– hour simple moving average at 1793.06 could provide support for the XAU/USD pair within this session.
