Gold Price Forecast: XAU/USD eyes a fresh rally toward $1,787

Gold price is rejoicing fresh bids above the $1,750 psychological level. As FXStreet’s Dhwani Mehta notes, bull flag opens doors toward $1,787.

Bull flag breakout and bullish crossover on the daily chart

“Gold price finally yielded a bull flag confirmation after closing Thursday above falling trendline resistance, then at $1,737. The upside break opens doors toward the three-month high of $1,787. Although bulls will need to clear this week’s high near $1,770, at first.”

“Adding credence to the bullish potential, the upward-sloping 21-Daily Moving Average (DMA) crossed the mildly bearish 100DMA for the upside, validating a bull cross.”

“On the flip side, a strong cushion is seen at Monday’s low of $1,733, below which the confluence of the 21 and 100DMAs at $1,712 will be challenged. The last line of defense for XAU/USD is seen at the November 10 low of $1,703.”