- SWFX market sentiment is 55% bullish
- 59% of pending orders in 1000-pip range are set to SELL Gold
- US Building Permits
XAU/USD reaches one-month low level.
The Bureau of Labor Statistics released Consumer Price Index data that came out in line with a forecast of 0.2%, staying unchanged from the previous period.
"The slow but steady upward pressure on inflation could tilt a majority of policymakers to lift their suggested interest rate forecast," said Sal Guatieri, a senior economist at BMO Capital Markets.
US Building Permits
On Tuesday, the US Census Bureau is set to announce the monthly Building Permits and Housing scheduled at 12:30GMT
XAU/USD moving sideways
XAU/USD introduced no changes to its overall price level on Monday. The pair was trading in a narrow range around the 1.280.00 mark, as it failed to accelerate following the 1.77% plunge on Friday. A fall below 1,275.00 - its 2018 low - was restricted by the monthly S1.
It is expected that Gold picks up bullish momentum, similarly to technical indicators that have already started to move higher. It faces a strong resistance cluster formed by the 55-hour SMA, the 61.80% Fibo retracement and the breached senior channel at 1,290.00.
Some further advance should still follow, thus setting the 1,300.00 territory as today's high. This level is strengthened by the 55-, 100– and 200-period (4H) SMAs.
Hourly Chart
The XAU/USD pair has reached a significant support level at 1278.49 on the daily time-frame.
Daily Chart
Swiss traders are still bullish
On Tuesday, 55% open positions of SWFX market traders were LONG.
Meanwhile, trader set up orders are bearish with 59% of them being set to sell the yellow mental.
OANDA traders are bullish on the pair with 76% of open positions are going long on the XAU/USD pair today. Saxo bank traders are likewise bullish with 75% long positions.