Gold confirms a break out from the ten month descending channel. I have written about this channel several times since its inception. I discussed the double bottom marked in the chart below as a possible catalyst for a breakout.
The daily close above 1850 confluence of resistance flips the level to support. A retest of 1850 will likely increase demand thus sending the price higher. Resistance comes in at 1910 followed 1970. We might see Gold reach for higher levels with a successful close above 1970. In a situation where 1970 fails we have 2015 and the all time high at 2075.
Alternatively a daily close below 1850 will negate this channel breakout or at least delay the bullish move.
XAUUSD daily time frame
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