The yellow metal's price has continued to surge in the channel up pattern. Moreover, it made attempts at passing the resistance line of the pattern. However, on Monday, the metal failed and retreated to the support of the zone near the 1,845.00 level.
Economic Calendar Analysis
On Wednesday, the price could move due to the FOMC Meeting Minutes at 18:00 GMT. The value of the US Dollar might be impacted by new information revealed by the US Federal Reserve.
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XAU/USD short-term forecast
If the 1,845.00 zone provides support, the bullion's price should most likely resume its surge in the borders of the channel up pattern. Note that a potential surge would need to pass the 1,855.00 level, which reversed the price's February surge.
On the other hand, a passing of the 1,845.00 zone's support and breaking of the channel up pattern could result in a decline to the 1,835.00 mark, which could be strengthened by the 55 and 100-hour simple moving averages.
Hourly Chart
XAU/USD daily charts review
On the daily chart, the metal has broken the resistance of the 1,850.00 mark and the 200-day simple moving average, which was strengthening the round price level.In the meantime, on Thursday, it was spotted that the price has been surging in a channel up pattern since the start of April.
Daily Candle Chart
Traders become neutral
On Monday, the sentiment on the Swiss Foreign Exchange was 51% bullish, as 51% of open position volume was long.
On Friday, the sentiment was 54% long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 71% to buy the metal.