Gold price returns to the red. As FXStreet’s Dhwani Mehta notes, $1,940 is a tough nut to crack for XAU/USD bulls.
Gold price could be briefly punished
“Gold sellers need a daily closing below the lower boundary of the rising wedge formation, now at $1,933, to confirm a downside break. On a rising wedge breakdown, Gold could extend the correction toward Monday’s high of $1,911, below which the $1,900 round figure could be tested.”
“Acceptance above the $1,940 hurdle is critical to renewing the upside. Further, a daily closing above the rising wedge resistance at $1,944 is needed to could negate the bearish bias in the near term.”