Continiuing previous weeks trend, 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
Gold shows a new short-term uptrend that is currently undergoing its first significant corrective pullback. This uptrend began after confirmed by a bullish golden cross of its moving averages.
After reaching a high near 3380.00, where the RSI indicator signaled an overbought condition, the price has pulled back and is now approaching key support at the 60-period moving average around the 3340.00 level. The RSI itself is testing its 50 midline, making this a critical decision point for short-term momentum. If buyers defend this support at the 60-period moving average, the uptrend is likely to continue toward the recent highs.
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
Traders going long
Continuing previous weeks bullish momentum 57.10 % of volume was in long positions.
In the 1000 point range around the latest price, the pending orders were 20 % to sell the metal.