Gold Price Forecast: XAU/USD remains confined in a range below $1780 level

Update: Gold continued with its struggle to build on this week’s modest gains and has been oscillating in a range over the past three trading sessions.

Separately, Atlanta Fed President Raphael Bostic and Fed Governor Michelle Bowman said that the high inflation in the US would last longer than expected, though agreed that the price increase will prove temporary.

This, along with the US bond yields and a scheduled speech by New York Fed President John Williams, will influence the USD price dynamics and produce some short-term trading opportunities around the XAU/USD.

Chatters over the Fedspeak and US President Joe Biden’s infrastructure spending plan are all around whereas the fears of the Delta Plus covid variant also favor the gold sellers.

Meanwhile, US Senators are in a rush to pass President Joe Biden’s infrastructure spending bill ahead of a two-week holiday period but a vast difference prevails between the Democrats’ push and Republicans’ demands.

It’s worth noting that China’s warning to the US over having warships in the Taiwan Straits didn’t stop the Biden administration from restricting exports to five companies from Beijing, adding to the risk-off mood.

Given the lack of major data/events, gold traders seek fresh clues from the US Durable Goods Orders for May, expected 2.7% versus -1.3% prior.

Gold prices justify Wednesday’s bearish Doji below 100-day SMA to aim for four-month-old horizontal support near $1,960.

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Gold portrays the market’s indecision with a 0.23% intraday loss near $1,773, despite recently bouncing off the day’s low, heading into Thursday’s European session.

Going forward, the remittance token’s future is dependent on this barrier and will play a pivotal role in deciding its short-term future.

The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose.

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