break of 50dma and downtrend

OK so gold has just bullishly broken the 50dma and the upper down trend from the February high.
It now remains to be seen whether:

1) It continues higher

2) It tests the break

3) It is a fake out and reverses strongly

I posted last week that I expected the USD to decline into Wednesday and so far that is the case.
As far as the dollar is concerned, indicators are reaching oversold levels even on a slight decline. This is a bullish sign as when securities are in a bull market, oscillators reach oversold very quickly and the opposite when they are in a bear market. ie osicllators reach overbought very quickly when they run counter trend.

Interesting few days ahead