After making attempts to pass the resistance of the 1,710.00 level, gold's price declined on Tuesday. In the meantime, it was spotted that the commodity price is heavily being impacted by the hourly simple moving averages.
Economic Calendar Analysis
There are a couple of minor data releases scheduled for the week.
On Tuesday, the US ISM Non-Manufacturing PMI is set to be released at 14:00 GMT. In addition, a minor move could be caused by the ADP Non-Farm Employment Change.
The week will end with the employment data release from the United States, on Friday at 12:30 GMT.
XAU/USD short-term forecast
During today's morning, the rate was testing the 100-hour SMA.
Given that yellow metal is supported by the 55-hour SMA near 1,698.00, it is likely that some upside potential could prevail in the market. However, note that the rate would have to surpass the 200-hour SMA near 1,709.00.
If the 200-hour moving average holds, it is likely that gold could trade sideways against the US Dollar within the following trading session.
If the given support does not hold, it is likely that the price for gold could decline below the 1,690.00 level.
Hourly Chart
On the daily candle chart, the metal's price has passed the support of the rising wedge pattern. In theory, the metal should drop.
However, the price is kept up by the 1,700.00 level. In addition, a decline could find support in 1,650.00.
Daily Candle
Traders are long on gold
On Tuesday, the Swiss Foreign Exchange sentiment was 55% long.
Namely, 55% of open position volume was in long positions.