Gold Price rebounds firmly after booking the fifth straight weekly decline. XAUUSD could face stiff resistance at $1,730 on the renewed upside, FXStreet’s Dhwani Mehta reports.

Gold eyes a technical rebound amid Fed’s blackout period, light calendar

“A light US docket combined with the Fed’s blackout period leave XAUUSD in the hands of the broader market sentiment and the dynamics of the dollar, as well as, the yields. The Fed rate hike expectations will also continue to influence the gold price action in the days ahead.”

“Acceptance above the bearish 21-Simple Moving Average (SMA) hurdle at $1,717 is critical to extending the recovery towards the falling 50 SMA at $1,730. A sustained move above the latter will open doors for a test of the $1,750 psychological barrier.”

“On the flip side, a rejection at the 21 SMA could recall sellers, calling for a retest of the wedge resistance now support at $1,694. Bears will, however, challenge the bullish commitments at 11-month lows of $1,698 beforehand.”