Gold recovery reaches 1,950.00

Note: This section contains information in English only.
Source: Dukascopy Bank SA
The yellow metal has clearly passed the resistance zone at 1,913.50/1,922.00, surged and confirmed the existence of a channel up pattern and retraced back down to the mentioned zone to confirm it as support.

Economic Calendar Analysis



On Thursday, the US Unemployment Claims might create a minor move of the USD at 13:30 GMT. Later on, expect the US ISM Services PMI to impact the USD at 15:00 GMT.

The week's most notable event will close the week. Namely, on Friday, at 13:30 GMT the US Employment data sets are set to be published. The release will consist of three numbers - the Average Hourly Earnings change month-on-month, the Non-Farm Employment Change during the month and the Unemployment Rate in February.

Click on the link below to find out more about data releases of this and other currency exchange rates.

XAU/USD short-term forecast

In the near term future, the price for gold could resume its surge due to the support of the 1,913.50/1,922.00 zone and the 50 and 100-hour simple moving averages near 1,920.00. A potential surge could test the resistance of the 1,950.00 mark, before approaching the upper trend line of the post-Russian invasion of Ukraine channel up pattern, and the February 24 high at 1,975.00.

However, a decline of the metal would have to pass a cluster of support levels in the 1,909.00/1,922.00 range. In that range the 50, 100 and 200-hour simple moving averages, the lower trend line of the channel up pattern and the 1,913.50/1,922.00 zone are located at.

Hourly Chart

XAU/USD daily charts review

On the daily candle chart, metal traded in a massive scale triangle pattern. The triangle was broken via a break-out to the upside.

The recent Russian invasion surge of the metal's price passed above the 2020 November and December high levels, which confirms that the high level cone can be passed. Meanwhile, previous resistance zones appear to have started to act as support.

Daily Candle Chart


Traders are short on gold

On Tuesday, the sentiment on the Swiss Foreign Exchange was 65% bearish, as 65% of open position volume was in short positions.

Meanwhile, in the 1000-pip range around the metal's price, pending trade orders were 53% to buy the precious metal.

On Wednesday, sentiment was still 65% bearish. However, pending orders were opposite, as 53% of orders were set to sell.

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