Gold finds support and recovers

Note: This section contains information in English only.
Source: Dukascopy Bank SA
On Wednesday, the price for the yellow metal eventually found support in the zone at 1,913.50/1,922.00. The zone was strengthened by the 100-hour simple moving average in the zone and the approaching 200-hour SMA and the lower trend line of the channel up pattern, which has guided the commodity price since the start of the Russian invasion of Ukraine on February 24. 

Meanwhile, the metal mostly ignored the 50-hour SMA.

Economic Calendar Analysis



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

If the price for gold continues to surge in the near term future, resistance might be found once again in the 1,950.00 mark, before the February 24 high level at 1,975.00 is reached. Above the high levels, the upper trend line of the channel up pattern could slow down a surge.

On the other hand, a decline could find support in the lower trend line of the channel up pattern. If the pattern is broken, the price might reach the 1,913.50/1,922.00 zone and the 100 and 200-hour simple moving averages in the zone.

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 can be passed. Meanwhile, previous resistance zones appear to have started to act as support.

Daily Candle Chart


Traders are short on gold with neutral pending orders

On Thursday, the sentiment on the Swiss Foreign Exchange was 66% bearish, as 66% of open position volume was in short positions.

Meanwhile, in the 1000-pip range around the metal's price, pending trade orders were 50% to buy and sell 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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