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XAU/USD lacks clear direction – FXStreet

FXStreet (Barcelona) - FXStreet Editor and Analyst, Dhwani Mehta, explains that XAU/USD currently lacks clear direction, and further anticipates Gold to retest USD 1307.64 levels if it breaks above USD 1300.

Key Quotes

“Gold prices in terms of US dollar (XAU/USD) hit a fresh five month high at 1307.64 levels on Thursday and settled the day higher at 1300.84 levels.”

“On the hourly chart, XAU/USD seems to have bounced-off from a strong support of hourly 20-DMA located at 1297.50 levels and now trades at 1297.98. The XAU/USD lacks clear direction at this point as the hourly RSI trades flat at 52 levels.”

“On the upside, the pair is likely to retest 1300 levels. A break above 1300 threshold may push the pair higher to retest 1307.64 levels (Jan 22 High).”

“In case of a failure to breach USD 1300 mark, the pair may fall back to retest hourly 100-DMA located at 1288.97 levels.”

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