On Wednesday, the XAU/USD exchange rate was trading at the psychological level at 1,480.00.
Given that the rate is pressured by the 55-, 100- and 200-hour SMAs, it is likely that some downside potential could prevail.
This week, there will be one data release, which might impact the price of gold through a value adjustment of the USD.
Today, at 12:30 GMT the US Retail Sales and US Core Retail Sales are scheduled to be released.
Meanwhile, take into account that next week there will be other events, which are expected to cause larger reactions on other currency exchange rates. Take a look at the published historical data tables by clicking on the link below.
XAU/USD short-term forecast
Yesterday, the XAU/USD exchange rate dropped to the psychological level at 1,480.00. During Wednesday morning, the rate was trading near the given level.
Yesterday, the XAU/USD exchange rate dropped to the psychological level at 1,480.00. During Wednesday morning, the rate was trading near the given level.
On the other hand, gold could trade sideways against the Greenback in the 1,480.00/1,485.00 area within the following trading session. It is unlikely that bulls could prevail in the market, and the price for gold could breach the falling wedge pattern north.
Hourly Chart
On the daily candle chart, the low level of October 1 has provided a reference point for charting patterns. A confirmed large scale ascending pattern has been spotted and added to the chart by Dukascopy Analytics.
It can be seen that the September surge occurred in the borders of the pattern until it met with its resistance line.
Meanwhile, in the borders of the larger pattern there exists a smaller channel down pattern. It represents the commodity price's consolidation in the borders of the larger pattern.
Daily Chart
Traders remain neutral
Since Friday, 53% of open gold position volume on the Swiss Foreign Exchange was in short positions.
On Wednesday, in the 1000 base point range around the current metal's price the pending orders were bearish – 52% of orders were to sell and 48% to buy.