Description: The price of gold has been consolidating within a range in recent weeks, but a breakout could be imminent. Based on technical analysis, it's possible that XAU/USD could test the $1825 support level before moving higher to target $1865.
The $1825 level has been a key area of support in the past, and a break below this level could trigger further downside pressure. However, if the price can hold above this level and rebound higher, it could signal a bullish breakout.
Looking at the daily chart, we can see that the price has formed a bullish flag pattern, with a potential breakout above the upper trendline. The Relative Strength Index (RSI) also suggests that there is more upside potential, as it is currently in neutral territory.
If XAU/USD can break above the $1865 resistance level, it could open the door to further gains in the weeks ahead. However, traders should also be aware of potential downside risks if the price fails to hold above the $1825 level.
Overall, XAU/USD appears to be in a consolidation phase, but a breakout could be on the horizon. Keep a close eye on key support and resistance levels to gauge the direction of the next .