Since Friday afternoon, the yellow metal's price had been testing the support of the 100-hour simple moving average. In the meantime, it could be observed that the 2035.00 level provided resistance.
Economic Calendar Analysis
The week ahead is going to be relatively calm on the economic calendar. Most of the events, that could impact the markets, are from the US.
On Tuesday, the US Core PPI and PPI data are going to be released at 12:30 GMT.
On Wednesday, the US Core CPI and CPI data will be released at 12:30 GMT.
On Thursday, the US Unemployment Claims data might affect the market. The release is scheduled to 12:30 GMT.
The week will end with the US Retail Sales data release on Friday at 12:30 GMT.
Click on the link below to find out more about the data releases.
XAU/USD short-term forecast
During the previous trading session, the XAU/USD exchange rate declined to the 100-hour SMA near 2,020.00. During Monday morning, the rate was testing the given moving average.
If the predetermined support holds, it is likely that some upside potential could prevail in the market. Note that the rate would have to surpass the 55-hour SMA and the monthly R1 in the 2,050.00 area.
If the given resistance holds, it is likely that yellow metal could trade sideways against the US Dollar in the short run. Otherwise, the price for gold could re-test the 2,070.00 mark.
Hourly Chart
On the daily candle chart, the metal is reaching one new high level after another.
Meanwhile, note that gold is trading far above the 55-, 100- and 200-day moving averages, thus, it is likely that yellow metal is overbought.
Daily Candle Chart
Traders remain short
On Friday, on the Swiss Foreign Exchange the sentiment was bearish, as of total open position volume 56% was short.
By the middle of Monday's GMT trading hours, the sentiment was 53% short.
Meanwhile, in the 1000-pip range around the metal's price the orders were 82% to buy.