Trade Gold as XAUUSD May Enter a Strong Trend

During the previous trading weeks, we saw a rapid growth of the market in the direction of the upper bound of the yellow channel. The bulls have almost reached the upper yellow wall and the resistance level of 1594.17. Thus, in the near future, we could see the final bullish rush to the specified level.

Next, we may see the implementation of one of the two options. If the price fails to break through the level of 1594.17, we could expect a smooth decline to the lower bound of the yellow channel over the next months.

However, if this price level of resistance is broken higher, the bullish trend may continue significantly higher within the larger channel.

It is preferable to add this pair on our watchlist!