By the start of Monday's US trading hours, the price for gold had found support in the 200-hour simple moving average and had surged above technical resistance levels.
Economic Calendar Analysis
On Wednesday, January 27, the Federal Reserve is going to unveil its monetary policy plans by publishing the FOMC Statement at 19:00 GMT.
On Thursday, January 28, the US Advance GDP data is set to be released at 13:30 GMT. Also, the US Unemployment Claims data will be published at the same time.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
XAU/USD short-term forecast
By mid-day on Monday, the commodity price had reached above the resistance of the 55-hour simple moving average and the 23.60% Fibonacci retracement level at the 1,860.60.level.
In the near term future, the price could reach for the 1,875.00 level, which provided resistance to the last week's surge. If this level gets passed, the 1,900.00 mark might be reached.
On the other hand, the bullion might trade sideways below the 1,875.00 level until the simple moving averages push the price up.
Hourly Chart
On the daily candle chart, the rate is now supported by the 200-day moving average near 1,845.00. If the resistance of 100-day moving average near 1,884.00 does not hold, the price for gold could rise to 1,900.00.
Daily Candle Chart
Traders remain long on gold
On Friday, the sentiment on the Swiss Foreign Exchange was bullish, as 56% of open position volume was long.
On Monday, 58% of volume was long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 87% to buy the metal.