Lower levels of volatility should be considered the primary scenario for gold, however bond market volatility may create overall market volatility that would spill into precious metals.
XAU/USD short-term forecast
A clear bearish reversal after the price failed to break through the major resistance level at 3410.00. This reversal gained strength as the price broke down through the key support level at 3372.60, shifting the market structure to bearish.
XAU/USD daily charts review
The daily chart for Gold shows a prolonged period of sideways consolidation following a strong prior uptrend. The market is currently directionless, trading within a well-defined range between the major support at 3285.00 and a strong resistance zone of 3410.00-3450.00. This neutrality is confirmed by the Relative Strength Index (RSI), which is hovering around the 50 mark and indicates a balance between buyers and sellers.The outlook will remain neutral until a decisive breakout from this range occurs. A sustained daily close above 3450.00 would signal a bullish continuation of the long-term uptrend. Conversely, a breakdown below the 3285.00 support would be a significant bearish signal, likely triggering a deeper correction. The market is awaiting a catalyst to determine Gold's next major trend.
Daily Candle Chart
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Traders going long
Continuing previous weeks bullish momentum 56.06 % of volume was in long positions.
In the 1000 point range around the latest price, the pending orders were 18 % to sell the metal.