After plummeting to the 1,805.00 level, the yellow metal's price recovered. On Monday, the metal traded in the range between the 1,830.00 and 1,840.00 level.
In the meantime, the commodity price faced the resistance of the 55 and 100-hour simple moving averages.
On Thursday, at 13:30 GMT, expect the weekly US Unemployment Claims.
Next week, data releases, which could impact the USD/JPY start on Thursday. At 13:30 GMT, the weekly US Unemployment Claims are set to be published.
On Friday, the US Services and Manufacturing PMIs could cause a notable adjustment in the USD value.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
XAU/USD short-term forecast
Given that yellow metal is pressured by the 55– and 100-hour moving averages in the 1,840.00/1,845.00 area, it is likely that some downside potential could prevail in the market, and the rate could re-test the 1,805.00 mark.
In the meantime, it is unlikely that some upside potential could prevail in the market, and the price for gold could exceed the resistance level—the Fibo 23.60%, located at 1,860.59.
Hourly Chart
On the daily candle chart, the metal's decline passed the support of the 200-day SMA at 1,844.00 and the 38.20% Fibonacci retracement level at the 1,837.43 level. Moreover, note that the 200-day SMA began to provide resistance to the price on Monday.
The metal has no additional technical support on the daily candle chart, as low as the 50.00% Fibo at 1,763.74. This level provided the price with support at the end of November, when the December surge started.
Daily Candle Chart
Long sentiment increases
On Monday, the sentiment on the Swiss Foreign Exchange was 59% bullish, as 59% of open position volume was long.
On Friday, 56% of volume was long.
Meanwhile, in the 1000-pip range around the metal's price the pending orders were 69% to buy the metal.
Previously, the orders were 96% to buy. It is assumed that a part of these orders were executed, as the long position proportion had increased.