On Thursday, at 12:30 GMT, the US Producer Price Index is set to reveal more information about inflation in the United States.
XAU/USD short-term forecast
All things being equal, the commodity could continue to edge higher in an ascending channel pattern through the following trading session. The potential target for the precious metal would be near the 1800.00 level.
However, the 200– hour SMA at 1781.8 might provide resistance for the XAU/USD exchange rate in this session.
Hourly Chart
XAU/USD daily charts review
Given that the XAU/USD exchange rate has rebounded from the four-month low, buyers are likely to drive the commodity higher during this week's trading session. The potential target for bullish traders will be near the 55- day simple moving average at 1824.00.However, the yellow metal could encounter resistance near the 1760.00 within this week's trading sessions.
Daily Candle Chart
Traders are bullish on XAU/USD
On Wednesday, the sentiment on the Swiss Foreign Exchange was 70% long.
On Thursday, the market sentiment changed, as 70% of the volume was long.
Meanwhile, in the 1000-pip range around the metal's price, the pending orders were 54% to buy the precious metal.