Moderate levels of volatility should be anticipated.
XAU/USD short-term forecast
In the short term, gold may experience a move to the downside, as current market conditions suggest weakening bullish momentum and the potential for increased selling pressure. This bearish outlook could be supported by factors such as overbought technical indicators, failure to break above key resistance levels, or a shift in broader market sentiment toward risk-on assets.
If the downside scenario unfolds, gold prices could decline toward the 3150.00 level, which may act as a near-term support zone. This level could attract buying interest or serve as a critical area for price consolidation, depending on how market participants react.
XAU/USD daily charts review
Bullishness may push gold closer to 3700.00 if tensions in global markets persist. If bearishness occurs, significant price moves toward 3150.00 may be considered highly plausible.Daily Candle Chart
Traders going short
On Monday, 46.4 % of volume was in long positions. Traders are going short.
Meanwhile, in the 1000 point range around the latest price, the pending orders were 28% to sell the metal.