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  • Gold prices remain positive around the multi-year top flashed the previous month.
  • A short-term rising trend channel above 100 and 200-bar SMAs keep the outlook positive.
  • Overbought RSI conditions seem to cap the bullion’s further rally.

Gold prices stay inside the weekly rising trend channel while taking rounds to 1,673 ahead of the European session on Friday. Also favoring the buyers is the bullion’s sustained trading above 100 and 200-bar SMAs.

However, overbought RSI conditions seem to limit the yellow metal’s further upside, which in turn highlights the channel’s support of $1,654 as the key.

Should the safe-haven declines below $1,654, 100-bar SMA near $1,621 and 200-bar SMA around $1,595 could gain the sellers’ attention.

On the upside, the previous month high around $1,690 can offer immediate resistance ahead of fueling the quote towards the channel’s upper line, currently at $1,700.

Gold four-hour chart

Trend: Bullish