Gold reached its target at 1,475.18, where a monthly pivot point is located at. In addition, on Wednesday the rate passed this resistance and shortly reached above 1,478.00.
By the middle of Wednesday's London trading hours, the commodity price was consolidating its gains by retracing downwards.
Economic Calendar Analysis
On Wednesday, the FOMC Meeting Minutes are set to be published at 19:00 GMT.
The week's reaction tables have been published. Take a look at the 18.11-22.11 Event Historical Reactions publication.
XAU/USD short-term forecast
On Tuesday, the XAU/USD exchange rate tested the monthly S1 at 1,475.18. During today's morning, the rate reached the 1,478.00 level.
On the one hand, gold could extend gains against the US Dollar within the following trading session. In this case, the exchange rate could target the upper boundary of the medium-term ascending channel located circa 1,484.00.
On the other hand, yellow metal could depreciate against the US Dollar in the nearest future. In this case, it is unlikely that the price for gold could drop lower than the support cluster formed by the 55-, 100– and 200-hour SMAs in the 1,465.15/1,470.33 area.
Hourly Chart
On the daily candle chart, the commodity price has reached the resistance of the 100-day simple moving average, which on Wednesday was located at 1,481.06.
Daily Chart
Traders remain long on gold
Since last Wednesday, 57% of volume was in long positions. Namely, the SWFX sentiment was bullish.
Meanwhile, in the 1000 base point range around the current metal's price the pending orders were slightly bullish – 55% of orders were to buy and 45% to sell.
On Tuesday, the orders were 80% to buy.