Gold moved higher on Wednesday. Still its gains were limited by a strong dollar which was supported by expectations for a rate hike by the Fed next week.
Gold attempted to recover on Wednesday albeit remained around 10-month low. The price recovered from 1165 and was able to break 1170 post-Europe open. However, the upward impetus stalled at 1178 where the pair spent the rest of the European session. The price grew and tested the 50-EMA in the 4 hours chart. The 50, 100 and 200 EMA maintained their bearish slope. The resistance exists at 1180, the support stands at 1170 dollars per ounce.
MACD traded to the upside. RSI remained within neutral territory.
We expect the yellow metal further weakness. A break below 1170 will suggest further weakness towards 1160 dollars per ounce.