As forecast, the yellow metal's price has once again approached and tested the resistance of the 1,790.00 level. Namely, the price bounced off the resistance even before it approached it.
During the early hours of Wednesday's trading, the price had retraced to the support of the 55-hour simple moving average.
There are no events expected during the upcoming week that could impact the price of gold.
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XAU/USD short-term forecast
On the second attempt on Wednesday, the metal managed to pass the resistance of the 1,7900.00 mark. The passing of the 1,790.00 level is likely to encounter resistance at the 1,800.00 level.
Hourly Chart
XAU/USD short-term daily review
On the daily chart, the rate has passed the resistance of the 55-day simple moving average. Previously, the SMA started to strengthen the resistance of the 50.00% Fibonacci retracement level of the 2020 low and high levels at 1,763.74.Meanwhile, note that the 1,800.00 level was being strengthened by the resistance of the 100-day simple moving average.
Daily Candle Chart
Traders remain long
Since Friday, the sentiment on the Swiss Foreign Exchange was bullish, as 62% of open position volume was long.
The situation changed on Wednesday, as 59% was long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 81% to buy the metal.