Since Wednesday morning, the yellow metal's price had been fluctuating between the 1,575 and 1,600.00 level, as the 1,600.00 kept providing resistance.
In addition, by the middle of Thursday's GMT trading hours, the commodity price had additional resistance, which was provided by the 55 and 200-hour simple moving averages.
During this week, data can be ignored, as the fundamental background has changed due to the coronavirus.
However, take a look at the list of previously notable events, as the markets will be looking at them to understand the impact of the virus.
XAU/USD short-term forecast
It is likely that yellow metal could remain under pressure of the 55 and 200-hour SMAs near 1,590.00 and depreciate against the US Dollar in the nearest future
However, note that the exchange rate could gain support from the monthly PP at 1,577.89. If the given level holds, the price for gold could consolidate in the short run.
Hourly Chart
On the daily candle chart, the metal's price has retraced back to the 55-day simple moving average, which was located at 1,589.04. By doing this, the metal has removed some of the overbought pressure, which was present at the end of March.
Daily Chart
Sentiment remains unchanged
Since Monday, the Swiss Foreign Exchange sentiment was 55% long. Namely, 55% of open gold position volume was in long positions.
Traders remained slightly long on the metal despite the recently experienced decline.