GOLD PRICE FORECAST: XAU/USD APPROACHES $1,865 HURDLE AS KEY US CATALYSTS LOOM – CONFLUENCE DETECTOR

Gold price eyes the first weekly gain in five, has smooth road till $1,865 resistance confluence.

Pullback in US Treasury bond yields, US Dollar join fresh chatters surrounding Fed policy pivot to propel XAU/USD price.

US ISM Services PMI can direct intraday moves, Fed Chair Powell’s testimony, US NFP will be the key to clear directions.

Gold price (XAU/USD) appears well-set to print the first weekly gain in five as the metal buyers cheer a softer US Dollar. Adding strength to the bullion’s latest rebound could be the retreat in the US Treasury bond yields from multi-day highs.

The latest round of Federal Reserve (Fed) talks renew the policy pivot speculations and joined mixed US data to exert downside pressure on the US Dollar, as well as the Treasury bond yields. It’s worth noting that the impressive PMIs from China and the policymakers’ readiness to resume the trade talks between Beijing and Washington also seem to keep the Gold buyers hopeful.

However, the cautious mood ahead of the top-tier data/events and fears of the Sino-American tussle over China’s ties to Russia cap the XAU/USD’s immediate upside. That said, Friday’s US ISM Services PMI for February, expected at 54.5 versus 55.2 prior readings, will be important to watch for intraday directions. Though, major attention will be given to the next week’s Federal Reserve (Fed) Chairman Jerome Powell’s Testimony and the monthly US jobs report for February, encompassing the key Nonfarm Payrolls (NFP).

Also read: Gold Price Forecast: Will XAU/USD buyers recapture critical 21 DMA hurdle?