Gold Price Forecast: XAU/USD needs to recapture $1,800 to extend the renewed upside

Gold price finds fresh buyers after having defended the critical 200-Daily Moving Average (DMA) support at $1,785. The yellow metal eyes $1,800 following the latest uptick, FXStreet’s Dhwani Mehta notes.

Selling pressure will intensify on a sustained move below 21DMA at $1,777

“Bulls now yearn for a sustained break above the $1,800 barrier, with the next resistance seen at December 15 highs of $1,809. Fresh buying opportunities will emerge above the latter, calling for a test of the December 14 high at $1,814.”

“On the flip side, a breach of the 200DMA on a daily closing basis will reopen floors toward the bullish 21DMA at $1,777. Selling pressure will likely intensify on a sustained move below the critical short-term line of defense of 21DMA, fuelling a fresh downswing toward the $1,750 psychological level.”