The yellow metal's price has ended trading sideways by declining below the 1,800.00 level. However, on Wednesday and Thursday the rate was finding support I the 1,785.00 level.
Meanwhile, the price had declined below the hourly simple moving averages.
During the week, only the US Preliminary GDP release on Thursday at 13:30 GMT could cause a notable sudden move.
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XAU/USD short-term forecast
Given that yellow metal is pressured by the 55-, 100– and 200-hour moving averages in the 1,797.40/1,804.20 range. Thus, some downside potential could prevail in the market.
In the meantime, if the 1,785.00 mark holds, the price for gold could reverse north and target the upper line of the falling wedge pattern located circa the 1,815.00 level.
Hourly Chart
On the daily candle chart, the rate has tested the support of the November low level of 1,765.30 and a 50.00% Fibonacci retracement level at 1,763.75.
Daily Candle Chart
Long sentiment is intact
Since Tuesday, the sentiment on the Swiss Foreign Exchange was bullish, as 68% of open position volume was long.
On Thursday, 69% of volume was long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 68% to buy the metal.
On Wednesday, the orders were 63% to buy.