Gold Price Forecast: XAU/USD hits fresh daily lows under $1860 on a volatile session

After a spike higher, gold reverses to the downside and then rebounds to $1,865.
Volatile session for metals as the US dollar strengthens.
US economic data surpass expectations, stocks and yields rise.
Gold prices dropped almost $20 from their peak during the last sixty minutes as volatility has soared. XAU/USD hit a fresh five month high at $1,877 and then turned to the downside following US economic data. Recently it bottomed at $1,858, before rising to $1,865. Silver is also affected by volatility. XAG/USD reversed sharply after reaching $25.41 and fell under $25.00.

USD gains on data, metals sideways
US data for both retail sales and industrial production surpassed expectations. The numbers boosted the greenback and also US yields. The 10-year yield climbed to 1.63% a fresh high, and then pulled back. The DXY printed fresh monthly highs above 95.70 and is gaining 0.20%.
Gold was trading higher on the day, at five-month highs before dropping sharply. The upside bias weakened during the last hour and price is testing levels below a key short-term uptrend line. A consolidation below $1,855 should point to a correction. The next relevant support stands at $1,840.

On the upside, if XAU/USD manages to rise again and hold above $1,870, it would keep the doors open to more gains, targeting the next resistance zone around $1,890.