The gold price has decreased to the 1,200.00 mark on Wednesday morning. The price decrease occurred due to Tuesday’s s price drop of 1.07% due to the US and Mexico making a trade agreement, which strengthened the US Dollar.
The 55-hour SMA passed the rate during Tuesday’s session and took a role of resistance for the rate. The 100-hour SMA is playing support. The rate is located among the 55—hour and the 100-hour SMA’s during Wednesday session. It is expected that the 55– hour and the 100-hour SMA’s will squeeze the pathway which will force the rate to breakout upwards or downwards.
The XAU/USD is been going up for the couple of weeks now. It is expected that the price surge will continue if the fundamental news will not break the pattern.
