Moreover, by inspecting the hourly candle chart, a triangle pattern has been spotted. In theory, all trading in a triangle pattern eventually ends with a break out either to the upside or downwards.
Economic Calendar Analysis
The top day for fundamental event watchers will be Friday. On Friday, at 12:30 GMT the US will release the country's monthly employment data. Later on, at 14:00 GMT, the US ISM Services Purchasing Managers Index is set to be out.
Most impact is expected from the US employment data release. The release will consist of the US Average Hourly Earnings, Non-Farm Employment Change and the Unemployment Rate.
XAU/USD short-term forecast
In the case that the rate breaks out up, it would face the resistance of the 1,820.00 level. Afterwards, the August high zone at 1,830.00/1,835.00 could provide resistance.
A breaking out of the triangle downwards would aim at the 1,800.00 level, which has been acting both as resistance and support. Below the 1,800.00, other round price levels might provide support.
XAU/USD daily charts review
On the daily candle chart, the yellow metal has passed the resistance of the 100 and 200-day simple moving averages near the 1,810.00 level. Meanwhile, the August and July high levels can be observed on the chart.Daily Candle Chart
Traders are neutral
Since Monday, the sentiment on the Swiss Foreign Exchange was 50% bearish and bullish.
This Thursday, the situation changed, as 51% of open position volume was in short positions.
Meanwhile, in the 1000-pip range around the metal's price pending trade orders were 67% to buy the precious metal.