Gold Price Forecast: XAU/USD up for the second week in a row, still limited around $1810

FX
  • Gold gains for the second week in a row, but still remains under $1810.
  • While above $1785, the bullish bias could persist in the short term.

Gold rose for the second week in a row and finished slightly below $1810 after rebounding from $1783. It was unable to hit fresh monthly highs.

The yellow metal continued to improve its outlook, with a close above the 55-week simple moving average. The upside continues to face resistance around $1810/15.  A break of that area should clear the way for a test of the next critical level seen at the $1830 region.

The immediate short-term support could be seen at $1793 followed by the 20-day simple moving average at $1784. A daily close under $1780 could anticipate more losses and a potential slide to $1750.

The upside in gold is being supported by a weaker US dollar and the improvement in market sentiment. On the contrary, the main negative factors are US yields, that many analysts see moving to the upside amid expectations of interest rate hikes from the Federal Reserve next year.

Technical levels

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