The price for gold failed to pass the resistance of the 1,845.00 mark, as the 55-hour SMA did not manage to push the commodity up.
On Monday morning, the commodity price declined and found support in the 100-hour simple moving average, which was located just above the 1,825.00 level.
There are a couple of events expected that could affect the XAU/USD rate.
On Thursday, the US CPI data sets and the Unemployment Claims are set to be published at 13:30 GMT.
The week is set to end with the US Producers Price Index at 13:30 GMT on Friday.
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
Short term forecasts are based upon whether or not the support of the 100-hour SMA holds.
In the case of the simple moving average pushing the rate up, the pair would first test the resistance of the 55-hour SMA near 1,840.00 and afterwards the 1,845.00 mark.
On the other hand, the failure of the 100-hour SMA could result in the metal's price declining to the support of the 1,815.00 level and the 200-hour SMA, which was located just below 1,815.00.
Hourly Chart
On the daily candle chart, the yellow metal is recovering after bouncing off the support of the large scale channel down pattern. On Thursday, the price had passed the 38.20% Fibonacci retracement level of the 2020 low and high levels at 1,837.43.
The next resistance on this chart was the 55-day simple moving average, which was located near 1,880.00.
Daily Candle Chart
Traders remain long on gold
On Friday, on the Swiss Foreign Exchange the sentiment was bullish, as of total open position volume 67% was long.
On Monday, the sentiment was 66% long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 66% to buy the metal.