Gold picks up bids, keeps recovery moves from six-week low.

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  Gold Price Forecast: XAU/USD rebound eyes $1,780 as Evergrande woes fade ahead of Fed

  Gold picks up bids, keeps recovery moves from six-week low.

  Market sentiment improves amid off in China, pre-Fed chatters and stimulus hopes.

  US housing data, risk catalysts can offer intermediate moves ahead of the key Wednesday.

  Gold Price Forecast: A lower low hints at another leg south

  Gold (XAU/USD) picks up bids to refresh intraday high around $1,765, rising for the second consecutive day, during early Tuesday.

  The yellow metal dropped to the lowest since August 11 the previous day before bouncing off $1,742. The corrective pullback gains additional back-up from cautious optimism in the market of late.

  Another day of Chinese traders‘ absence, as well as a lack of fresh fears, could be cited as the main catalysts for the latest risk-on mood. Furthermore, comments over the United Nations meeting this week signal that the global leaders will agree on the climate change accord and could also overcome fears from Iran, due to no schedule for the direct talks, to favor the risk appetite. On the same line, US President Joe Biden’s push for partnership with the United Nations (UN) to solve the key problems as well as US House Speaker Nancy Pelosis hopes for a $3.5 stimulus brightens the mood too.

  On the contrary, comments from the global rating agency S&P, signaling that Chinas Evergrande will default join the Fed tapering woes to keep the optimists in check.

  Against this backdrop, S&P 500 Futures print 0.30% intraday loss, bouncing off a two-month low whereas the US 10-year Treasury yields consolidate the latest losses around 1.31% by the press time.

  Moving on, US housing market figures may entertain traders but the headlines over the Fed and China will be crucial to follow for fresh impulse ahead of the all-important Federal Reserve (Fed) monetary policy and Chinas return from holidays on Wednesday.

  Golds rebound from early August levels enables it to regain past July lows, suggesting short-term recovery towards a confluence of 10-DMA and a monthly horizontal line near $1,780.

  However, bearish MACD signals hint at the sellers dominance, which if ignored could direct the gold buyers towards the $1,800 threshold and the double tops surrounding $1,834 afterward.

  In a case where the gold bulls manage to cross the $1,834 hurdle, they can aim for Junes top close to $1,917.

  Meanwhile, pullback moves remain less worrisome unless staying beyond Julys low of $1,750.

  Following that, a horizontal area from August 10, near $1,740-35, will precede the $1,700 round figure to lure the bears.

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