On Tuesday, the metal was observed to be pushed higher by the 50-hour simple moving average. Economic Calendar Analysis
This week, there are couple of events that might cause minor reactions in the Forex market.
On Thursday, the US weekly Unemployment claims could create a minor reaction in the US Dollar. However, by large this event is being ignored by the markets, unless there is a large discrepancy from forecasts.
Also on Thursday, note that the head of the Federal Reserve Jerome Powell is set to speak at a public event at 16:00 GMT. However, it is a luncheon event at the New York Economic Club, which makes the possibility of him speaking on policy quite low.
XAU/USD short-term forecast
If the surge resumes, the price is set to face the resistance of 1,932.50, 1,940.00 and 1,950.00 levels. Higher above, note the 1,970.00 and 1,980.00 levels that have acted as resistance in July.
However, in the case of a move below the 50-hour SMA and the 1,910.00 level, the 1,900.00 level could slow down a decline, before the combination of 1,895.00 and the 100-hour simple moving average are reached.
XAU/USD daily charts review
On the daily candle chart, the price appears to be respecting the resistance line of the previously broken channel down pattern. Moreover, it could be the 200-day SMA that is acting upon the commodity price.Daily Candle Chart
Gold traders are long
On Tuesday, the Swiss Foreign Exchange, traders were 56% bullish on gold, as that proportion of open Gold positions were long.
In the meantime, pending orders in the 1000 point range around the current price are 65% to sell.