The price of gold moves sideways in the short term. It's trading at 1,972 at the time of writing. Surprisingly or not, XAU/USD rallied, even though the DXY jumped higher. The Dollar Index remains bullish, further growth could punish the price of gold. Fundamentally, the yellow metal rallied as the German, UK, Eurozone, and US services sectors remained in the contraction territory.
Tomorrow, the RBNZ and the FOMC Meeting Minutes represent high-impact events and could really shake the markets.
XAU/USD Sideways Movement!
As you can see on the H1 chart, the rate found support on the median line (ML) and now it has turned to the upside. It's trapped between the 1,984 and 1,952 levels. It remains to see if this represents a distribution or an accumulation pattern.
In the short term, Gold could extend its sideways movement. Only escaping from this pattern could bring us great opportunities.
XAU/USD Forecast!
A new higher high, a bullish closure above 1,984 activates further growth and represents a buying opportunity.
