Gold has been holding onto some of its gains and now faces a big test – the Federal Reserve’s rate decision. Can the precious metal continue higher? The technical positioning looks promising.
The Technical Confluences Indicator is showing that XAU/USD is sitting above strong support at $1,709, which is the convergence of the Fibonacci 38.2% one-week, the Simple Moving Average 10-one-day, the SMA 5-1h, the Bollinger Band 15min-Middle, the SMA 50-1h, the SMA 200-15m, and more.
Further down, another cluster awaits at $1,704, which includes the Pivot Point one-month Resistance 1, the previous monthly high, and the SAM 50-4h.
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