As we come to the close of the trading week we see gold definitively break out of the consolidation zone to the up side. As mentioned earlier this is the signal we had been waiting for to pick up long positions on gold. On Tuesday XAUUSD retest the downward trendline which provided for an aggressive entry point at 1889.800.
Now towards the end of the trading week, the pair is approaching a resistance zone at 1916.502. On the break and retest of this level we’d be looking to pick up long positions targeting 2035.662. Overall on the weekly chart we look at this as a continuation of the long term bullish trend on the pair.
Heading to the NewYork session what’s your sentiment on XAUUSD?