On Thursday, the commodity price was consolidating by trading sideways. Most likely the surge would resume, as soon as the hourly simple moving averages approach the price from below.
Economic Calendar Analysis
This week there will be no more data releases occurring, which could impact the price of gold through the strength of the US Dollar.
XAU/USD short-term forecast
On Thursday, the yellow metal's price was consolidating in the aftermath of reaching the 1,510.00 level.
In general, the price was expected to resume the surge, as soon as the 55, 100 and 200-hour simple moving averages move higher. Namely, the 55-hour reaching the price might be one of the causes of a surge.
On the other hand, the commodity price might ignore the support of the SMAs and continue to trade sideways.
Hourly Chart
The massive scale pattern of the weekly candle chart has been broken. The metal continues to surge. As this pattern has been broken, there is no technical resistance to the metal.
Meanwhile, note that the daily simple moving averages are located below the 1,300.00 level. It is a clear indicator of how much the metal is overbought.
However, the move is purely fundamental. Due to that reason the indicators have a small impact on the price.
Weekly Chart
Traders still short gold
On Thursday, on the Swiss Foreign Exchange 74% of open gold position volume was in short positions.
Meanwhile, in the 1000 base point range around the current metal's price the orders were bullish- 73% were set to buy, and 27% of orders were set to sell.
In general, traders continue to be short despite the surge, but have close by buy orders that would close the short positions and open long positions.