By the middle of Wednesday's trading, future forecasts were based on what would happen at that level.
US ISM Manufacturing PMI
The Institute for Supply Management released the US ISM Manufacturing PMI survey data results, which came out worse-than-expected of 47.8 compared to the forecast of 50.4.
The Chair of the Institute for Supply Management (ISM) Manufacturing Business Survey Committee Timothy R. Fiore commented: "Global trade remains the most significant issue, as demonstrated by the contraction in new export orders that began in July 2019. Overall, sentiment this month remains cautious regarding near-term growth."
Economic Calendar Analysis
On Wednesday, the ADP Non-Farm Employment Change is set to be published at 12:15 GMT.
On Thursday, at 14:00 GMT the ISM Non-Manufacturing PMI is scheduled to be published.
The week will end with the biggest event of the month in the US, the employment data publication, on Friday at 12:30 GMT. The release will consist of three data sets being published. The Unemployment Rate, Non-Farm Employment Change and the Average Hourly Earnings.
The Average Hourly Earnings is the top number to watch. It is closely followed in importance by the Non-Farm Employment change. Meanwhile, the Unemployment Rate can be ignored by financial traders.
XAU/USD short-term forecast
Yellow metal could continue to extend gains against the US Dollar in the short term. Note that the commodity would have to surpass the resistance cluster formed by the 100– and 200-hour SMAs, as well the monthly PP in the 1,489.10/1,502.85 area.
However, if the given resistance cluster holds, it is likely that a reversal south could occur in the nearest future, and the price for gold could re-test the support level formed by the Fibonacci 23.60% retracement at 1,462.89.
Hourly Chart
On the daily candle chart, the price for gold has confirmed the 55-day simple moving average at 1,489.83 as a resistance.
Next support to take into account on the daily candle chart is the 100-day SMA, which was located near the 1,430.00 mark.
Daily Chart
Traders remain neutral
Since Tuesday, 51% of open gold position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 1000 base point range around the current metal's price the pending orders were bearish– 55% of orders were to sell and 45% to buy.
Previously, the orders were 78% to sell.