The gold price on Thursday extended the current weekly gains towards $1,730 after bouncing off 6-week lows of $1,671 late last week. The price of the yellow metal appears to be trading within a highly volatile widening bearish wedge in the 60-min chart. 

But from a broader perspective, there is significant bearish bias, which is demonstrated with a bigger ascending channel. The price of gold has now surged above the current levels of the 100-hour and the 200-hour SMA lines.

Gold Price Fundamentals Overview

From a fundamental perspective, the gold price is driven by a relative increase in market uncertainty in the US. The anti-racism protests have been met with mixed reactions in the country with some condemning how criminals have taken advantage of the situation to loot businesses while others continue to support the course. Meanwhile, the coronavirus pandemic continues to affect global economies and this retains a bullish outlook for safe-haven investments like gold.

In the latest round of US data, the consumer price index for May missed the (MoM) expectation of 0.0% with -0.1%. The (YoY) equivalent also disappointed with 0.1% versus 0.2%. The CPI ex-food and energy missed the (MoM) and (YoY) expectations of 0.0% and 1.3% with -0.1% and 1.2% respectively. On Thursday, traders will be looking forward to the initial jobless claims for the first week of June for guidance. 

Gold Price Technical Analysis (the 60-min Chart)

Technically, the price of gold appears to be trading within an ascending channel in the 60-min chart. However, it has recently taken a bearish wedge, which appears to be widening amid an increase in volatility.

The bulls will be targeting short-term profits at around $1,745 or higher at $1,760. On the other hand, the bears will look to pounce on short-term pullback profits at around $1,720 or lower at $1,704.

Gold Price Technical Analysis (the Daily Chart)

In the daily chart, gold bulls appear to be firmly in control. The price of the yellow metal continues to trade within an ascending channel, which indicates a long-term bullish bias in the market sentiment. Gold recently bounced off the trendline support after a short pullback.

The bulls will be looking to extend the current gains towards $1,776 or higher at $1,823. On the other hand, the bears will target long-term pullback profits at around $1,683 or lower at $1,631.