Next week gold price might be impacted by the strength of the US Dollar adjusting to US macroeconomic data.
On Thursday, the US Final GDP will be published at 12:30 GMT. This event could cause a minor move.
The week will end with the US Durable Goods Orders data release at 12:30 GMT. The event will consist of the release of US Durable Goods Orders and US Core Durable Goods Orders.
However, note that during the last six months the markets did not react to the Durable Goods Orders. For example the EUR/USD moved less than 10 pips during the timeframe of ten minutes around the data being released.
XAU/USD short-term forecast
On Friday morning, the yellow metal's price was bound to once more test the resistance of the 1,510.00 level.
If the metal passes it, the price could surge up to the 1,520.00 level and later on to the 1,550.00 mark.
On the other hand, the metal is more likely to fail, as it has for a week. In that case it would retreat back to the 1,500.00 level.
Hourly Chart
Daily Chart
Decline of short sentiment ends
On Friday, 52% of open gold position volume on the Swiss Foreign Exchange was in short positions.
The sentiment had not changed much since it declined to 53% short on Wednesday.
Meanwhile, in the 1000 base point range around the current metal's price the pending orders were neutral – 59% of orders were to buy and 41% to sell.
Previously, 53% of orders were set to buy.