The metal's surge was stopped by the resistance of the 1,915.00 level on Friday. Since then, the metal's price has been declining.
By the middle of Monday's European trading hours, the commodity price had reached below the 1,900.00 mark.
Economic Calendar Analysis
During the week, pay attention to the economic data releases already on Monday. On Monday, at 14:00 GMT the Institute of Supply Management will publish the Non-Manufacturing Purchasing Managers Index results.
On Wednesday, note that some calendars show the FOMC Meeting Minutes at 18:00 GMT. This is a publication of the minutes without a rate statement. In the past, this event has not caused sharp moves, as the Meeting Minute impact comes on gradually while the markets read and analyse.
On Thursday, as always the US Unemployment Claims at 12:30 GMT might cause a minor move.
Click on the link below to find out more about the data releases.
XAU/USD short-term forecast
It is likely that yellow metal could gain support from the 200-hour moving average near 1,883.00. Thus, the exchange rate could trade sideways within the following trading session.
In the meantime, note that the rate is pressured by the 55-hour moving average near 1,900.00. Thus, the price for gold could go downwards in the nearest future.
Hourly Chart
On the daily candle chart, the rate has bounced off the support of the 100-day simple moving average, which strengthened the support of the 1,850.00 level.
In the meantime, it was spotted that the 23.60% Fibonacci retracement level at 1,879.18 was providing support.
On Friday, the 38.20% Fibonacci retracement level at 1,916.78 was providing resistance to the commodity price.
Daily Candle Chart
Traders are long on gold
Since Wednesday, on the Swiss Foreign Exchange the sentiment was long, as of total open position volume 56% was long.
Meanwhile, in the 1000-pip range around the metal's price the orders were 78% to buy the metal.
The orders were 84% to buy on Friday.