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Gold Price Forecast: XAU/USD to rise towards next major hurdle near the $$1,866 area

Gold seesawed between tepid gains/minor losses on Thursday and finally settled with modest gains for the third straight session. According to FXStreet’s Haresh Menghani, near-term bias remains tilted in favour of XAU/USD bulls.

The $1,820 region seems to protect the immediate downside

“Market participants now look forward to the release of the US monthly Retail Sales figures, due later during the early North American session. Apart from this, the US bond yields will influence the USD price dynamics and provide some impetus to the XAU/USD.”

“Traders will further take cues from the broader market risk sentiment and developments surrounding the coronavirus saga for some meaningful opportunities on the last day of the week.”

“Some follow-through strength towards the $1,845-46 region, en-route the next major hurdle near the $$1,866 area, now looks a distinct possibility. The momentum could further get extended towards the $1,880 level before bulls eventually aim to reclaim the $1,900 round-figure mark.”

“The overnight swing lows, around the $1,820 region, nearing the trading range resistance breakpoint, now seems to protect the immediate downside. Any further pullback might be seen as a buying opportunity near the $1,808-07 zone. This is followed by the $1,800 mark, which if broken decisively will negate any near-term positive bias and prompt some aggressive technical selling around the XAU/USD.”

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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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