Lower levels of volatility should be considered the primary scenario for gold, however bond market volatility may create overall market volatility that would spill into precious metals.
XAU/USD short-term forecast
Gold is stuck in a tight sideways range on the hourly chart and is showing no clear trend. The market is contained between strong resistance at the top near 3372.60 and major support at the bottom around 3312.00. The flat moving averages and neutral RSI confirm this lack of direction. A decisive breakout above the resistance or below the support is needed to signal the next significant move.
XAU/USD daily charts review
The daily chart for Gold shows a prolonged period of sideways consolidation following a strong prior uptrend. The market is currently directionless, trading within a well-defined range between the major support at 3285.00 and a strong resistance zone of 3410.00-3450.00. This neutrality is confirmed by the Relative Strength Index (RSI), which is hovering around the 50 mark and indicates a balance between buyers and sellers.The outlook will remain neutral until a decisive breakout from this range occurs.
Daily Candle Chart
Traders going long
Continuing previous weeks bullish momentum 58.00 % of volume was in long positions.
In the 1000 point range around the latest price, the pending orders were 16 % to sell the metal.