XAUUSD - May increase as retail traders become Bearish

On the daily chart below, gold has extended a cautious push higher above the 38.2% Fibonacci retracement level of 1903.46. That is now placing the focus on the falling trendline from earlier this year. The latter could reinstate the broader downside focus, pushing XAU/USD back to the mid-August swing low of 1884.89.

Otherwise, clearing above the falling trendline, as well as the 1936.90 inflection zone, exposes the 23.6% level of 1971.63 as key resistance. Extending gains beyond that could open the door to revisiting the 2048.79 – 2081.82 resistance zone.