Gold rose more than 1% on Monday after an attack on key oil facilities in Saudi Arabia inflamed worries over the stability of the Middle East, driving investors to seek refuge in assets seen as a haven from risk.Spot gold was up 1% at $1,503.60 per ounce as of 1138 GMT, while U.S. gold futures rose 0.8% to $1,511.80 per ounce.
Short term trading for XAUUSD, we see that Gold currently finds support in the narrow range between $1,497.00 USD/ounce-$ 1,499.xx USD/ounce; a break above/below that range in short term could lead Gold to a higher level, or lower price zone. So two scenarios are to consider:
- Gold breaks above $1,499.xx USD/ounce and retraces to find higher support area around $1,498.xx USD/ounce, and pops up again. For that scenario the price action will be with high probability to lead Gold price to $1,530.xx in the coming days.
- Gold breaks down $1497.xx USD/ounce and bounces back to $1,499.xx and stop rising at that level again; any further falling down afterward will lead the price action to lower price area at mentioned last week, namely at $1,47x.xx to see.
So keep waiting for the next acts Gold will do and act to it accordingly.
Take your look at the depicted chart below for more references: