The XAU/USD pair is moving sideways in the short term, trying to accumulate more bullish energy before extending its growth. It's located at 2,044 at the time of writing and it seems undecided. The Dollar Index moves somehow sideways in the short term, that's why the yellow metal consolidates.
The bias is bullish even if the US Prelim GDP reported a 5.2% growth compared to the 5.0% growth estimated. Today, the US economic data and the OPEC-JMMC Meetings could shake the markets. The US is to release the Unemployment Claims, Core PCE Price Index, Pending Home Sales, Chicago PMI, Personal Income, and Personal Spending. Only positive US data could help the USD to appreciate versus its rivals. This situation could send XAU/USD down. In addition, Canada is to release the GDP which represents a high-impact event as well.
XAU/USD Range!
Technically, Gold is trapped between 2,051 and 2,038 levels. I told you yesterday that the bias remains bullish as long as it stays above the 2,038 static support.
As you can see, the rate registered false breakdowns below this downside obstacle, confirming strong upside pressure.
Gold Forecast!
A new higher high, jumping and closing above 2,051 is seen as a bullish signal.
Dropping and closing below 2,038 activates a potential drop towards the uptrend line.
