In the meantime, it was spotted during the afternoon that the 50-hour simple moving average and the previous support zone at 1,778.60/1,782.70 were providing resistance to the metal's recovery. Economic Calendar Analysis
This week, the main event will be the release of the US employment data on Friday at 13:30 GMT. The release will consists of the publication of the Average Hourly Earnings, Non-Farm Employment Change and Unemployment Rate.
In addition, take into account the US ISM Services PMI survey results on Friday at 15:00 GMT.
Click on the link below to find out more about data releases of this and other currency exchange rates.
XAU/USD short-term forecast
A potential resumption of the decline of the metal could decline from one round price level to another. However, note the lower trend line of the channel down pattern near 1,765.00. The trend line might provide support.
On the other hand, a move above the 50-hour simple moving average and the zone at 1,778.60/1,782.70 is highly likely going to result in a test of the resistance of the 100-hour SMA near 1,785.00. Above the 100-hour SMA, the 200-hour SMA near 1,800.00 might act as resistance.
XAU/USD daily charts review
On the daily candle chart, the metal has passed the trend line, which connects the August, September and November low levels.Meanwhile, the 50, 100 and 200-day simple moving averages are being ignored.
Daily Candle Chart
Long sentiment grows
On Thursday, the sentiment on the Swiss Foreign Exchange was 59% bearish, as 59% of open position volume was in short positions.
Meanwhile, in the 1000-pip range around the metal's price pending trade orders were 79% to buy the precious metal.
On Wednesday, 57% of volume was in in long positions. In the meantime, only 60% of orders were set to buy.