Gold To Extend Its Rally?
Gold prices may extend its rally as the precious yellow metal was able to jump over its short term downtrend line. The recent breakaway gap of the XAUUSD pair may send it higher towards 1,350.00. While it is likely that it will extend its rally due to the recent appetite on the commodity, it may still see some resistance at its previous support at 1,350.00 before it goes back down again. A move above 1,350.00 may send it higher to at least 1,400.00. On the other hand, a failure to do so may send it down to at least 1,300.00. Note that the possible rally extension in gold should translate to a near term weakness in the US dollar since the two our inversely related.
