During the previous trading session, the price for gold dropped significantly to the support level—the monthly R2 at 1,487.41. During Wednesday morning, the XAU/USD exchnage rate increased to the 1,510.00 mark.
Given, that the exchange rate is supported by the 55– and 100-hour SMAs, currently located circa 1,505.00, it is likely, that some upside potential could occur. In this case, the rate could breach the monthly R3 at 1,521.59.
On the other hand, yellow metal could consolidate against the US Dollar at the 1,515.00 level in the short term. Also, it is unlikely, that bears could prevail in the market, and the price for gold could surpass the given support level.