On Tuesday, the yellow metal continued to trade in the previous day's trading range.
The metal could be observed to be kept up by the technical support of the 55, 100 and 200-hour simple moving averages.
Gold prices this week can be affected by one data release. US Retail Sales will be published on Tuesday at 12:30 GMT.
For more information watch this week's Economic Calendar Analysis
XAU/USD short-term forecast
By the middle of Tuesday's London trading session, the yellow metal's price was located near previous day's trading levels, as the hourly simple moving averages had managed to keep the price from declining.
In general, it was expected that the consolidation will end soon and the 55, 100 and 200-hour simple moving averages push the commodity price higher. In that case the commodity price would once more test the resistance of the 1,420.00 level.
Meanwhile, watch closely the simple moving averages, as the commodity rate's passing below all of them could cause a sharp decline down to 1,400.00
Hourly Chart
On the daily chart, it can be observed that the metal still remains below the August 2013 high level, which stopped the metal's massive June surge.
Daily Chart
Short sentiment remains intact
Since the middle of Friday, 67% of open gold position volume on the Swiss Foreign Exchange was in short positions.
Meanwhile, in the 1000 base point range around the current metal's price the orders were neutral - 53% of orders were set to buy. Previously, 63% of orders were set to buy.