Yesterday, the XAU/USD exchange rate breached the medium-term ascending channel north. During Wednesday morning, the rate was trading near the 1,530.00 level.
Given that yellow metal is supported by the 55-hour moving average, currently located at 1,523.88, it is likely that some upside potential could prevail in the market. A possible upside target is the 1,540.00/1,545.00 area.
On the other hand, gold could consolidate against the US Dollar at 1,530.00/1,535.00 within the following trading session. It is unlikely that bear could prevail in the market, and the price for gold could drop lower than 1,507.41/1,514.23 due to the support formed by the 100– and 200-hour SMAs.
