Gold Price Forecast: XAU/USD returns above $4,600 as the US Dollar eases
XAU/USD price action holds within a downward parallel channel, but technical indicators on the 4-hour chart point to an improving momentum. The Relative Strength Index (RSI) has popped up above 50, and the Moving Average Convergence Divergence (MACD) line has crossed above the Signal line, adding to the case of a bullish reversal. The precious metal is now testing the top of the downtrend channel, around $4,640. Further up, the previous support area around $4,665 and the April 24 and 27 highs near $4,730 are likely to challenge bulls. On the downside, key support is at the confluence of Wednesdays low with the channel base, near the $4,500 level. Further down, the March 26 low, at the $4,350 area, emerges as a plausible target.