Gold Price Forecast: XAU/USD sets the stage for further losses towards $1,750

Gold price is nursing losses near two-week lows of $1782. The $1,775 area holds the key for XAU/USD bulls, as FXStreet’s Haresh Menghani notes.

See – Gold Price Forecast: Time for XAU/USD to shine – DBS Bank

XAU/USD seems vulnerable

“Traders might further take cues from the release of Weekly Initial Jobless Claims data from the US. Apart from this, scheduled speeches from a host of Fed officials and the US bond yields might influence the USD price dynamics. This, along with the broader market risk sentiment, might provide some impetus to gold and allow traders to grab some meaningful opportunities.”

“Weakness towards the next relevant support, around the $1,775-74 region, remains a distinct possibility. A convincing break below will set the stage for a deeper retracement towards the $1,750 support zone.”

“Bulls might now wait for a sustained strength back above the $1,800 round-figure mark before placing fresh bets. XAU/USD might then climb back to the $1,821-22 resistance zone, above which a fresh bout of a short-covering move should pave the way for a move back towards challenging the $1,832-34 hurdle. Some follow-through buying will negate any near-term negative bias.”