FX.co ★ XAU/USD, GOLD

On Sunday, Iranian Foreign Minister Abbas Araghchi affirmed that discussions and correspondence with the United States were still in progress. Iran has not made any nuclear promises to Washington, according to Ebrahim Rezaei, spokesman for the parliamentary National Security Committee. These comments make it abundantly evident that there are still issues that need to be resolved between the US and Iran in order to extend the ceasefire while renewing the US dollar's (USD) appeal as a safe haven. Thus, the price of gold is restrained from rising. Unless there is a significant improvement in the US-Iran peace agreement, there are threats to the brilliant metal's decline in the coming week. The crucial US Nonfarm Payrolls (NFP) report, which is due on Friday, may also have an impact on Fed rate expectations and the direction of gold prices in the upcoming weeks. While US-Iran stories will continue to influence market mood and gold volatility, the immediate attention is still on the US ISM Manufacturing PMI data, which is coming later in the day for new trade incentives. XAU/USD is trading at $4,522.25 on the daily chart. In the short term, the metal is still under pressure as the price stays above the more distant 200-day simple moving average (SMA) at $4,411.29 but remains below the 21-day SMA at $4,582.65 and the 50-day SMA at $4,628.82. With the Relative Strength Index (RSI) at 44 suggesting muted but moderate downside momentum, this combination points to a corrective bearish bias inside a larger upswing. The 21-day SMA at $4,582.65 is the first obstacle on the upside, followed by the 50-day SMA at $4,628.82 and the 100-day SMA, which fortifies a higher resistance band at $4,802.34. If selling picks up speed, the last downward trend-line break level at $4,282.51 will emerge as a deeper structural floor. On the downside, immediate attention is on the adjacent pivot zone around the current price, ahead of firmer support at the 200-day SMA near $4,411.29.