The precious metal had a tough time a week ago; it lost more than 4% at some point during the trading session but was able to cut half of the losses before the close. After that, the pair started an uptrend and headed to its fifth consecutive session, closing with a profit.
The pair managed to break a resistance level in our 61.8% Fibonacci retracement at $1,766, and it's now very close to the 50% retracement at $1,796. We expect the price to continue its uptrend and break the new resistance in the short term based on technical analysis.
The Bollinger bands are wide, and volatility should be higher. The price trades in between the bands, suggesting the price is at a fair level; this could interest investors to open long positions on the precious metal.
The relative strength index is recovering from an oversold status and is currently at 50%, which is an excellent position for it to be at. The short and long-term moving averages crossed recently, indicating a downtrend; however, there is a lag as it's considering the last 20 and 40 trading sessions, respectively. If the price continues to climb, this will change in the next few days.
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