The 1,850.00 held on Monday and caused a surge. By the middle of Tuesday's GMT trading hours, the surge had reached the 1,885.00 level.
In the meantime, the 1,900.00 level was strengthened by the 200-hour simple moving average.
Economic Calendar Analysis
On Wednesday, at 12:15 GMT the ADP Non-Farm Employment Change data release could cause a move.
On the same day, at 12:30 GMT the US are publishing GDP data.
On Thursday, as always the US Unemployment Claims at 12:30 GMT might cause a minor move.
The week will end with a monthly data release. The US Average Hourly Earnings, Non-Farm Employment Change and the Unemployment Rate are scheduled for 12:30 GMT.
Click on the link below to see the historical reaction tables.
XAU/USD short-term forecast
From the one hand, it is likely that some upside potential could prevail in the market. In this case the exchange rate could face the resistance formed by the 200-hour SMA near 1,900.00.
From the other hand, it is likely that bears could prevail in the market in the short run. Note that the price for gold could gain support from the 55– and 100-hour SMAs, as well the monthly S1 in the 1,865.00 area.
Hourly Chart
On the daily candle chart, on Thursday, the 100-day simple moving average approached the rate and began to provide support. It continued to do so on Monday and Tuesday, as the SMA strengthened the 1,850.00 mark.
Daily Candle Chart
Long sentiment declines
Since Thursday, on the Swiss Foreign Exchange the sentiment was long, as of total open position volume 58% was long.
On Tuesday, the long sentiment decreased to 55%.
Meanwhile, in the 1000-pip range around the metal's price the orders were 63% to buy the metal.