GOLD - USD - Gold Had a Sharp Buying Interest and Challenged Our Target - 08/29/2017 (GMT)

The precious metal edged sharply higher on Monday and posted almost 2% in just one trading period. The XAU/USD pair successfully jumped above the trading range that was holding the last six months with lower band the $1,207 price level and upper band the $1,292 resistance handle. The aggressive run drove the gold above our suggested target at $1,307.50 (see technical analysis here: http://bit.ly/2vzMw2A). In addition, the price hit a nine-month high at $1,324 and the next level to watch is the $1,337.

On the daily timeframe, the technical indicators are moving within a positive territory. The RSI indicator climbed into the overbought zone but is weakening, while the MACD oscillator surpassed the trigger line and is ticking higher.