Yellow metal price is trading at 1,809.01 and consolidating in the range between 1,808.85 – 1,812.55. U.S. policymakers inch closer to further stimulus, which raised hopes over the U.S. economic recovery. Forex trading market participants may buy above $1,806 to target the $1,819 and 1,825 levels on Thursday. During the Asian trading session, the safe-haven-metal price extended its early-day downward streak and traded bearishly below the $1,810 level. The reason could be associated with the stronger U.S. dollar. Gold price forecast remains bearish at 1,809 amid the bullish bias in the U.S. dollar. Get FREE Forex Signals Now! It’s keeping the gold prices down as the price of gold is inversely related to the price of the U.S. dollar. Greenback is gaining support amid hawkish remarks from a senior official at the U.S. Federal Reserve. If you are interested in trading XAU/USD with forex robots, check out our guide. Quick Fundamental Outlook – Gold Under Selling Pressure The yellow metal price is trading at 1,809.01 and consolidating in the range between 1,808.85 – 1,812.55. The upbeat market mood has also played a significant role in undermining gold prices. In addition to this, the latest optimism over U.S. President Joe Biden’s infrastructure spending passage helped further to the market trading mood to stay bid. This was seen as another critical factor that kept the gold prices under pressure. Furthermore, the China crackdown and coronavirus outbreak worldwide keep probing the risk-on market sentiment. This may help the bullion prices to limit its deeper. Gold Price Forecast – Progressing Stimulus Talks & Fed’s Hawkish Remarks Despite the China crackdown and coronavirus outbreak worldwide, the market trading sentiment managed to extend its previous day’s positive performance. However, the reason could be attributed to the latest optimism over U.S. President Joe Biden’s infrastructure spending passage. The U.S. policymakers inch closer to further stimulus, which raised hopes over the U.S. economic recovery and contributed to the market trading sentiment gains. Besides this, the hawkish comments from the U.S. Federal Reserve also played a significant role in underpinning the market trading sentiment. Bullish U.S. Dollar Keeps Gold Under Selling Pressure The Fed Vice Chair Richard Clarida said the condition for an interest rate hike is expected to be reached in late 2022. He’s setting the stage for a move in early 2023. He further added that move to taper bond buying later this year or early next depends on how the labor market performs in the next few months. However, the positive tone around the global equity markets undermined the safe-haven gold prices. Despite the upticks in the market risk sentiment, the broad-based U.S. dollar managed to maintain its early-day upward rally. It remained bullish on the day as the hawkish remarks from a senior official at the U.S. Federal Reserve boosted the greenback. China Crackdown & Coronavirus Outbreak Worldwide The China crackdown and coronavirus outbreak give some further support to the safe-haven dollar. In the meantime, the goodish pickup in the U.S. Treasury bond yields also benefitted the U.S. dollar. The upticks in the U.S. dollar held the bullion under selling pressure amid a negative correlation between both assets. Australia’s covid epicenter, New South Wales, faces broader lockdowns, with Newcastle and Upper Hunter under the restrictions. The state reported 262 new infections as of today. On Thursday, Sydney said it’s the most severe day of the COVID-19 pandemic with 5-deaths. At the same time, Queensland recorded 16 new community cases of COVID-19. In turn, this becomes the critical factor that helps the gold price limit its more profound losses. Boosted Safe-haven Appeal to Underpin Gold The West versus China and Iran tussles seem to escalate late, putting downside pressure on the market trading sentiment. Increased safe-haven demand can push gold prices higher. Apart from this, China’s gaming stocks are once again under the radar amid ongoing techlash. China’s Securities Times announced that tax on the gaming sector should be slightly similar to the traditional industry. Meanwhile, the mixed economic figures from Australia and the U.S. negatively impact the market trading sentiment, which may be considered beneficial for the safe-haven gold prices. Looking forward, traders will keep their eyes on the U.S. economic docket, which highlights the release of critical U.S. jobs reports up for publishing on Friday. Gold Price Forecast – Technical Levels: Eyes on $1,806 Gold – XAU/USD – 4-Hour Chart S3 1766.12 S2 1791.44 S1 1801.68 Pivot Point 1816.76 R1 1827 R2 1842.08 R3 1867.4 Gold Price Forecast – Daily Technical Analysis: Ascending Trendline Supports at $1,810 Gold price forecast remains bearish; however, the $1,809 support level has the potential to push it higher. On the 4-hourly chart, the yellow metal has formed an ascending triangle pattern. The triangle covers a wide area, extending support at $1,806 level and resistance at $1,833. However, the 50 days EMA (exponential moving average – red line) will be extending an immediate hurdle at the $1,813 level. Bullish crossover above 50 EMA can lead the gold price towards $1,820 and $1,833. Since the leading indicator Stochastic RSI is trading at 8.97, the chances of a bullish reversal remain strong. Thus, buying can be seen over $1,808/6 support area. The breakout of the upward trendline at the $1,806 level can extend selling until $1,793. The Forex trading market participants may buy above $1,806 to target the $1,819 and 1,825 levels on Thursday. Conversely, sell-stop can be placed below the $1,805 level today. All the best! Looking to trade forex now? Invest at eToro! Trade Forex Now! 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Ali B. Ali B. Live webinar speaker and derivatives (Forex, Crypto, and Indices) analyst with a broad range of skills for evaluating financial data, investment trends, technical analysis, fundamental analysis, and the best ways to strategies investment selection. Expertise: Trading Psychology; Speculative Positioning & Market Sentiment; Technical & Fundamental Analysis. View All Post By Ali B. CommoditiesDaily Look share Read Next Free Forex Signals and Forecast: Sell USD/CAD – 05 August 2021 Saqib Iqbal 1 year Yellow metal price is trading at 1,809.01 and consolidating in the range between 1,808.85 - 1,812.55. U.S. policymakers inch closer to further stimulus, which raised hopes over the U.S. economic recovery. Forex trading market participants may buy above $1,806 to target the $1,819 and 1,825 levels on Thursday. During the Asian trading session, the safe-haven-metal price extended its early-day downward streak and traded bearishly below the $1,810 level. The reason could be associated with the stronger U.S. dollar. Gold price forecast remains bearish at 1,809 amid the bullish bias in the U.S. dollar. 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