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Gold Price Analysis: XAU/USD to confirm bullish bias on a move beyond $1,800

Gold attracted some dip-buying on Wednesday and rallied nearly $20 from daily swing lows, around the $1,770 area. Nothing seems to have changed much – XAU/USD bulls await a sustained strength beyond the $1,800 mark before placing fresh bets, FXStreet’s Haresh Menghani briefs.

See – Gold Price Analysis: XAU/USD to suffer some near-term weakness – Commerzbank

XAU/USD continues with its struggle to make it through the $1,800 round-figure mark

“There isn't any major market-moving economic data due for release from the US on Thursday. Hence, it remains to be seen if bulls are able to capitalize on the momentum or the commodity continues with its struggle to make it through the $1,800 round-figure mark.”

“Investors look forward to Friday's closely-watched US monthly employment details for April. The popularly known NFP report may provide clues on when the Fed would scale back its stimulus, which, in turn, should assist investors to determine the next leg of a directional move for the metal.”

“A move beyond the $1,800 mark will set the stage for a further near-term appreciating move and push the commodity to the $1,813-15 intermediate hurdle en-route the $1,845-50 resistance zone. Some follow-through buying has the potential to lift the XAU/USD further towards the $1,872-74 supply zone.”

“Immediate support is now pegged near the $1,782-80 region. This is followed by the overnight swing lows, around the $1,770 area. Failure to defend the mentioned support levels might prompt some technical selling and drag the metal back below the $1,760 level.”

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FXStreet Insights Team

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

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