During Wednesday morning hours, the XAU/USD exchange rate broke the upper boundary of the short-term descending channel.
It is likely that yellow metal could bounce off the resistance level—the Fibo 23.60% at 1,860.59 and depreciate against the US Dollar in the short term. The rate could target the 1,820.00 area.
Meanwhile, note that the exchange rate could gain support from the 55-, 100– and 200-hour SMAs in the 1,839.20/1,852.65 area. Thus, the price for gold could grow within the following trading session.
