On Thursday, at 12:30 GMT, US Producer Price Index and Core Producer Price Index data will reveal inflation levels at the production level. In addition, take into account that the weekly US Unemployment Claims are scheduled to be released at the same time. Note that on their own, the claims have not been capable of increasing volatility. The moves on USD on April 28 were caused by the release of the negative US GDP, not the Unemployment Claims.
To see historical move tables click on the link below.
XAU/USD short-term forecast
If the price for gold eventually declines, note the Wednesday morning and post CPI low levels at 1,835.00 and 1,832.40. These levels could act as support.
On the other hand, a potential surge might encounter resistance in the 1,865.00 mark and the 100 and 200-hour simple moving averages.
XAU/USD daily charts review
On the daily candle chart, the metal's price has passed below the support of the 200-day simple moving average. The SMA managed to shortly act as support during late Tuesday's trading hours.Daily Candle Chart
Traders remain bullish
On Wednesday, the sentiment on the Swiss Foreign Exchange was 63% bullish. Namely, 63% of open position volume was in long positions.
Meanwhile, in the 1000-pip range around the metal's price, pending trade orders were 100% to buy the precious metal.
On Tuesday, traders were 62% bullish and pending orders were 75% to buy.