- SWFX market sentiment is 71% bullish
- Pending orders in the 1000-pip range are set to buy in 70% of all cases
- US GDP might impact gold prices
Gold prices once more almost touched the 1,240.00 mark. Although, the rate retreated after the attempt until it found support in the 55-hour simple moving average and prepared for another attempt to pass the just mentioned level.
Latest Fundamental Event
Oil prices increased volatility during the release of the US Crude Oil Inventories at 14:30 GMT. Initially, the price dropped by nearly 20 base points. However, immediately buy orders of the retail sector went through and pushed the price higher by 44 base points.
The Energy Information Administration released the US Crude Inventories data that came out lower-than-expected of 6.7M, compare to forecasted 3.6M.
"The report is mixed due to the dueling large build in crude oil inventories and steep decline in gasoline and distillate fuels," said John Kilduff, a partner at Again Capital Management in New York.
US data will impact gold at the end of the week
Two data releases in the US could impact the price of the yellow metal through the US Dollar.First note that the US Durable Goods orders were published at 12:30 GMT on Thursday. The data release did not cause a notable data release. It was below ten base points.
Meanwhile, the data release with the biggest impact will be on Friday. The Bureau of Economic Analysis will publish the Advance US GDP at 12:30 GMT.
XAU/USD short term forecast
In regards to the near-term future, most likely, the gold will keep surging towards the upper boundary of the dominant ascending pattern line at 1,238.00 mark due to the support of the 55-hour simple moving average.
However, the US Dollar could appreciate during today's US Core Durable Goods Orders fundamental data at 12:30 GMT, to force the gold to trade at 1,230.00 level.
Hourly Chart
On the daily chart it can be observed that the long term ascending channel is holding.
In addition, note that the 100-day simple moving average, which was pressuring the commodity price lower during the last week, has been left below the price.
Daily Chart
Some traders take profit
On Thursday, 71% of trader open positions were long. Previously, 74% of positions were long.
Meanwhile, trader set up pending orders are still mostly set up to buy more gold. 74% of all orders are set to buy.
Some traders took profit from the recent second attempt to reach above the 1,240.00 mark. Meanwhile, note that traders intend to buy even more gold.