The surge of the yellow metal continues, as all safe haven assets gain during the ongoing sell off of the US Dollar. By the middle of Friday's GMT trading hours, the pair had broken the resistance of the 1,950.00 mark.
In the near term future, the metal should continue to surge, as it had no technical resistance and the ongoing fundamental turmoil in the United States
Economic Calendar Analysis
On Friday, the US are publishing their monthly employment statistics. Among them will be the Average Earnings, Unemployment Rate and official Non-Farm Employment Change. In general, the Average Earnings and Employment Change reveal, how much USD is used for employment.
Next week, on Thursday, at 13:30 GMT USD pairs could move because of the release of the US Consumer Price Index and the Unemployment Claims.
On Friday, the US Producer Price Index are scheduled to be released at 13:30 GMT.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
XAU/USD short-term forecast
From the one hand, it is likely that some upside potential could continue to prevail in the market within the following trading session.
From the other hand, the exchange rate could reverse south in the short term. In this case it is unlikely that the price for gold could decline below the 1,898.00/1,920.00 range due to the support provided by the 55-, 100– and 200-hour SMAs.
Hourly Chart
On the daily candle chart, the yellow metal has broken the resistance of the 50.00% Fibonacci retracement level at 1,947.16.
Next resistance on the daily candle chart was the 61.80% Fibonacci retracement level at 1,977.55.
Daily Candle Chart
Traders are long on Gold
On Friday, on the Swiss Foreign Exchange the sentiment was bullish, as of total open position volume 57% was long.
By the middle of Thursday's GMT trading hours, the sentiment was 59% long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 67% to buy the metal.