Gold is approached by 55-hour SMA

Note: This section contains information in English only.
Source: Dukascopy Bank SA
On Wednesday the yellow metal's price remained below the resistance of the 1,870.00 level. In the meantime, the price was approached by the 55-hour simple moving average, which could push the commodity price down.

Economic Calendar Analysis



On Tuesday, at 12:30 GMT, the US Retail Sales and US Producers Price Indices are expected to be released.

On Wednesday, the top event of the week would occur. At 18:00 GMT, the US Federal Funds Rate and Fed Statement could cause a move.

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

In the case that the 55-hour simple moving average provides enough resistance for the rate to decline, the price would aim at the support of the 1,845.00 level. The 1,845.00 level has been providing both resistance and support since early May.

On the other hand, the price could break the resistance of the 55-hour simple moving average. In this case scenario, the metal could once again test the resistance of the 1,870.00 level.

Hourly Chart

XAU/USD daily charts review

On Monday, the yellow metal's price broke the lower trend line of the channel up pattern, which had guided the price up since April.

The metal could find support in the 200-day simple moving average at 1,840.00 and the 38.20% Fibonacci retracement level at 1,837.43.

Daily Candle Chart


Open positions change

Since Monday, the sentiment on the Swiss Foreign Exchange were 53% bullish, as 53% of open position volume was long.

On Wednesday, the open positions were 57% long.

Meanwhile, in the 1000-pip range around the metal's price the pending orders were 74% to buy the metal.

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