Gold has broken above the descending trendline dating back to the 3rd of May. The resistance now sits at $1,974.

Taking a look at gold as it has broken above the descending trendline dating back to the 3^rd of May. It has moved above the resistance level of $1,959 (oval), and now seems like it’s trying to consolidate after the slight retracement in the overnight session. Currently, the commodity is trading at around $1,966 an ounce with support below at $1,953. A break below this point could indicate a ‘false breakout’ and lead to a move lower back towards $1,935-$1,940 an ounce. On the other hand, towards the upside, resistance now sits at $1,974. A break above this point could see the price of gold climb higher with the target then of $1,985. Looking at the technical indicators, MACD is positive and so is RSI as it reads 58.