Watch out for the release of the United States Producer Price Index at 13:30 GMT on Friday.
XAU/USD short-term forecast
A move above the 100-hour SMA could encounter resistance in the previous support levels. Namely, the 2,010.00, 2,015.00 and 2,020.00 levels could act as resistance. In addition, note the descending 200-hour simple moving average near 2,020.00. Higher above, the 2,035.00/2,040.00 range is capable of impacting the price.
Meanwhile, a resumption of the previous decline is expected to look for support in the 2,000.00 mark, the 50-hour SMA and the 1,995.00 mark. Further below, the 1,985.00 is highly likely to once again impact the rate.
XAU/USD daily charts review
On the daily candle chart, the metal has passed below the 2024 low level range. The range had acted as resistance during late 2023. It appears that it could once again keep the metal's price down.Daily Candle Chart
Gold traders are long
On Thursday, 52% of Dukascopy traders were long, as that proportion of open position volume was in long positions.
In the meantime, pending orders in the 1000-pip range around the current price were 78% to sell the metal.