Thus, it is likely that gold could consolidate against the US Dollar within the following trading session. If the given resistance does not hold, bulls could prevail in the market.
Economic Calendar Analysis
This week there are a couple of US data releases on the economic calendars that are shown as high impact.
Today, at 14:00 GMT the US ISM Manufacturing PMI might impact gold prices.
On Thursday, the US ADP Non-Farm Employment Change will be published at 12:15 GMT.
On Friday, US employment data will be published. The event will have three numbers being revealed – the Average Hourly Earnings, Non-Farm Employment Change and Unemployment Rate.
XAU/USD short-term forecast
Yesterday, the XAU/USD exchange rate consolidated between the 100– and 200-hour SMAs, currently located at 1,524.72 and 1,532.08 respectively.
During Tuesday morning, the rate continued to trade in the given area. If the given moving averages hold, it is likely that yellow metal could continue to trade sideways against the Greenback in the nearest future.
However, note that gold is also supported by the 55-hour SMA at the 1,526.11 mark. Thus, if the given resistance does not hold, the price for gold could target the psychological level at 1,540.00.
Hourly Chart
On the daily candle chart, the recent surge did not pierce the upper trend line of the ascending channel pattern.
Daily Chart
Swiss traders remain short
On Tuesday, 65% of trader open position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 1000 base point range around the current metal's price the pending orders were bullish – 56% of orders were to buy and 44% to sell.