On Friday morning, the yellow metal recovered, as a run to safety was caused by the US President Donald Trump stating that he had tested positive for the coronavirus.
In the meantime, it was spotted that round price levels still impacted the price.
Economic Calendar Analysis
The week will end with a monthly data release. The US Average Hourly Earnings, Non-Farm Employment Change and the Unemployment Rate are scheduled for 12:30 GMT.
During next week, pay attention to the economic data releases already on Monday. On Monday, at 14:00 GMT the Institute of Supply Management will publish the Non-Manufacturing Purchasing Managers Index results.
On Wednesday, note that some calendars show the FOMC Meeting Minutes at 18:00 GMT. This is a publication of the minutes without a rate statement. In the past, this event has not caused sharp moves, as the Meeting Minute impact comes on gradually while the markets read and analyse.
On Thursday, as always the US Unemployment Claims at 12:30 GMT might cause a minor move.
Click on the link below to find out more about the data releases.
XAU/USD short-term forecast
The yellow metal had pierced the resistance of the 1,900.00 level. This signals that additional gains are possible.
In addition, take into account the situation with coronavirus in the US. Namely, if future news about the Donald Trump case cause a run to safety, the bullion is set to continue to gain in value.
On the other hand, the metal could trade sideways in the absence of new information.
Hourly Chart
On the daily candle chart, the rate has bounced off the support of the 100-day simple moving average, which strengthened the support of the 1,850.00 level.
In the meantime, it was spotted that the 23.60% Fibonacci retracement level at 1,879.18 was providing support.
On Friday, the 38.20% Fibonacci retracement level at 1,916.78 was providing resistance to the commodity price.
Daily Candle Chart
Traders are long on gold
Since Wednesday, on the Swiss Foreign Exchange the sentiment was long, as of total open position volume 56% was long.
The positions did not change on Friday.
Meanwhile, in the 1000-pip range around the metal's price the orders were 84% to buy the metal.
The orders were 75% to buy on Thursday.