The XAU/USD exchange rate re-tested the psychological level at 1,796.00.
From a theoretical point if view, it is likely that the rate could trade downwards within the given trend.
Economic Calendar Analysis
Next week, there are only couple of events expected that could impact the XAU/USD rate.
On Thursday, the US Unemployment Claims data is set to be published at 12:30 GMT.
On Friday, the US Manufacturing and Service PMIs survey results are going to be released at 13:45 GMT.
For more information read the weekly event review article by clicking on the link below.
XAU/USD short-term forecast
Yesterday, the XAU/USD exchange rate declined to the 1,795.00 level. During Friday morning, the rate reversed north.
Given that yellow metal is pressured by the 200-hour moving average near 1,802.00, it is likely that a reversal south could occur, and the rate could continue to trade within the short-term descending channel.
On the other hand, it is likely that the exchange rate could try to exceed the resistance formed by the 55– and 100-hour SMAs in the 1,805.00 area and reverse south within the following trading session.
Hourly Chart
On the daily candle chart, gold is likely to gain support at the 1,796.00 level.
Meanwhile, note that the rate could be pressured by a trend line was drawn by connecting the 2019 and 2020 high levels.
Daily Candle Chart
Traders remain short
On Friday, on the Swiss Foreign Exchange the sentiment was bearish, as of total open position volume 56% was short.
Meanwhile, in the 1000-pip range around the current metal's price the orders were 57% to buy.