Yesterday, the XAU/USD exchange rate continued to trade within the short-term descending channel. During Wednesday morning, the rate pierced the upper channel line.
From a theoretical point of view, it is likely that yellow metal could continue to trade downwards within the predetermined channel.
Meanwhile, note that the rate could gain support from the 55– and 100-hour SMAs near 1,806.00. Thus, it is likely that the price for gold could target the monthly R1 at 1,821.43.
