The precious metal managed to post modest gains, rising 0.38% on the day on Tuesday. This reversed part of the declines from the day before. Overall, gold remains muted with price testing a technical support level and ahead of the March payroll figures due in the latter part of this week.
Can the Consolidation Push Gold Higher?
The XAUUSD has failed to break down below the support level of 1284 and has instead consolidated in the support area. This led to price action inching modestly higher. While price has previously attempted to rebound, it failed. We see this current rebound as another attempt for a correction to the upside. Failure to post any major gains could lead to price to fall back to the support area. A break down below 1284 is key for gold to resume the declines.
