• Gold broke resistance area
• Likely to rise to resistance level 1800.00
Gold recently broke the resistance area lying between the key resistance level 1760.00 (former monthly high from the middle of March) and the 38.2% Fibonacci correction of the previous sharp downward impulse from the end of January. The breakout of the resistance level 1760.00 accelerated active minor impulse wave (iii) – which belongs to strong impulse wave C from last month.
Given the latest weakening of the dollar on signs the Fed will keep interest rates at low levels for longer period – Gold can be expected to rise further toward the next round resistance level 1800.00 (target price for the completion of the active impulse wave (iii)).