On Friday, the yellow metal's price got squeezed in between the resistance of the 55-hour SMA and the support of the 100-hour SMA.
In the near term future the pair was expected to trade sideways until a breaking of one of the simple moving averages occurs.
There are no more events scheduled for this week that could impact the yellow metal's price.
XAU/USD short-term forecast
Yesterday, the XAU/USD exchange rate traded sideways in the 1,760.00 area. During Friday morning, the rate maintained its consolidation.
From the one hand, yellow metal could be pushed down by the 55-hour SMA to the lower line of the medium-term ascending channel circa 1,755.00. If the given channel holds, a reversal north could follow.
On the other hand, gold could gain support from the 100-hour SMA and extend gains against the US Dollar in the short term. In this case the price for gold could re-test the 1,780.00 level.
Hourly Chart
On the daily candle chart, the rate has passed the resistance, which kept it down in May.
Meanwhile, the commodity price is being followed by the support of the 55-day simple moving average, which on Friday was located above the 1,720.00 mark.
In addition, note that the resistance trend line of the 2019 and 2020 high levels could provide resistance above 1,780.00.
Daily Candle
Bulls took profits
Since Thursday, on the Swiss Foreign Exchange the sentiment almost bearish, as it was 63% short.
It is likely that the bulls had taken profits, leaving the bears with their positions.
Meanwhile, in 1000-pip range around the current metal's price the orders were set to buy, as 66% were bullish orders. Those could be the stop losses and take profits of the short positions.