After once again finding support in the 1,885.00 level, the yellow metal's price has resumed its surge. Moreover, at Wednesday noon, the price passed technical resistance levels that were located from 1,905.00 to 1,910.00.
In the near term future, the metal was expected to continue to surge and test the resistance of 1,925.00 and 1,930.00.
Economic Calendar Analysis
On Thursday, the weekly US Unemployment Claims will be out at 12:30 GMT.
On Friday, the US Retail Sales data is capable of causing slight increases of above normal volatility. However, in most cases the market barely reacts to this data. Namely, there are no sudden asset price and exchange rate adjustments.
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XAU/USD short-term forecast
As at 14:00 GMT on Wednesday, the yellow metal's price had passed the resistance of the 55, 100 and 200-hour simple moving averages and the monthly pivot point in the 1,904.50/1,910.00 zone.
The bullion was expected to continue to surge, as it had no technical resistance. However, note that the 1,925.00 and 1,930.00 levels were providing psychological resistance. Moreover, the 1,930.00 managed to stop the last week's surge.
Hourly Chart
On the daily candle chart, the price faced the resistance of the 55-day SMA and the 50.00% Fibonacci retracement level at 1,940.93 and 1,947.16.
Moreover, the metal had clearly broken the resistance line of the August, September and prior October high levels.
In the meantime, the 38.20% Fibo at 1,916.78 could not provide support.
Daily Candle Chart
Traders are long
Since the previous Wednesday, on the Swiss Foreign Exchange the sentiment was long, as of total open position volume 54% was long.
Meanwhile, in the 1000-pip range around the metal's price the orders were 71% to sell the metal.