On Monday, the XAU/USD exchange rate was trading at the 1,492.00 mark.
Given that the rate is squeezed by the 55-, 100- and 200-hour moving averages, it is likely that gold could consolidate against the US Dollar.
Economic Calendar Analysis
This week there will be one data release, which might impact the price of gold through a value adjustment of the USD.
On Thursday, October 24, the US Durable Goods Orders data will be released at 12:30 GMT.
XAU/USD short-term forecast
During Friday, the XAU/USD exchange rate traded sideways at the 1,492.00 level. During today's morning, the rate was trying to surpass the resistance level formed by the 200-hour SMA at 1,493.26.
If the given resistance holds, it is likely that yellow metal could continue to consolidate against the US Dollar in the nearest future. It is unlikely, that the rate could trade downwards due to the support provided by the 55– and 100-hour SMAs at 1,490.00.
However, if the given resistance level does not hold, it is likely that gold could extend gains against the Greenback. In this case the commodity price could reach the monthly PP at 1,498.29.
Hourly Chart
On the daily candle chart, the low level of October 1 has provided a reference point for charting patterns. A confirmed large scale ascending pattern has been spotted and added to the chart by Dukascopy Analytics.
It can be seen that the September surge occurred in the borders of the pattern until it met with its resistance line.
Meanwhile, in the borders of the larger pattern there exists a smaller channel down pattern. It represents the commodity price's consolidation in the borders of the larger pattern.
Daily Chart
Traders remain neutral
On Monday, 53% 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 pending orders were slightly bullish – 56% of orders were to buy and 44% to sell.