A convincing breakthrough has the potential to push spot prices beyond the $1,800 mark, towards testing the next relevant resistance near the $1,810-15 supply zone. The momentum could further get extended towards the $1,888 strong horizontal barrier.
On the flip side, the $1,775-74 area, followed by the $1,770 level should protect the immediate downside. This is followed by the monthly swing low, around the $1,762 region, which if broken will be set the stage for a fall towards the $1,675- support zone. Bearish traders could eventually aim to challenge the $1,725 support zone before dragging the XAU/USD to the $1,600 round figure.
On the flip side, the $1,775-74 area, followed by the $1,770 level should protect the immediate downside. This is followed by the monthly swing low, around the $1,762 region, which if broken will be set the stage for a fall towards the $1,675- support zone. Bearish traders could eventually aim to challenge the $1,725 support zone before dragging the XAU/USD to the $1,600 round figure.