On Thursday, at 13:30 GMT, the US Consumer Price Index and Core Consumer Price Index data is set to be released together with the US Unemployment Claims. Namely, all US pairs and assets are expected to react to the news.
Click on the link below to find out more about data releases of this and other currency exchange rates.
XAU/USD short-term forecast
In the near term future, the pair could reach and test the resistance of the February high level at 1,975.00. A move above the 1,975.00 mark might encounter resistance in the 1,980.00 and 1,990.00 levels, before the 2,000.00 mark is reached.
However, a potential decline of the commodity price is highly likely set to look for support first in the 1,950.00 mark. Further below, the 50-hour simple moving average and the lower trend line of the channel up pattern might stop the metal during a drop.
XAU/USD daily charts review
On the daily candle chart, metal traded in a massive scale triangle pattern. The triangle was broken via a break-out to the upside.The recent Russian invasion surge of the metal's price passed above the 2020 November and December high levels, which confirms that the high level can be passed. Meanwhile, previous resistance zones appear to have started to act as support.
Daily Candle Chart
Traders are short, with neutral pending orders
On Thursday, the sentiment on the Swiss Foreign Exchange was 66% bearish, as 66% of open position volume was in short positions.
Meanwhile, in the 1000-pip range around the metal's price, pending trade orders were 50% to buy and sell the precious metal.
On Friday, sentiment was 65% bearish. However, pending orders were still balanced