The central bank is expected to confirm in a statement at 1915 GMT that it will keep up $85 billion in monthly bond buying until unemployment rates drop significantly, although officials have shown concern over side effects from such measures.
"The Fed policies appear to be having the desired effect on the U.S. economy and therefore a change in stance or message is unlikely," ANZ said in a research note.
"We may be in for another day of low-key price action, but we are seeing healthy levels of physical trade, and we think prices may start to rise again."
Gold has likely found a bottom around Monday's low just above $1,650 an ounce, and could rally to $1,680 in the next week or so, ANZ added.
Spot gold was little changed at $1,664.11 an ounce by 0251 GMT. It rose above the key 200-day moving average in the previous session, which stood just below $1,663.
U.S. gold inched up 0.2 percent to $1,663.50. Reuters market analyst Wang Tao said that technical analysis suggested spot gold may hover around $1,662 an ounce for one session or retrace moderately before climbing again towards $1,669.
Investors are also looking out for nonfarm payrolls data on Friday for a close look at the U.S. labour market. Economists surveyed by Reuters expect steady hiring from employers in January, helping unemployment to stand unchanged from a month earlier at 7.8 percent.
Recent data showing a steady recovery of the economy has depressed sentiment towards gold, a safe haven popular in economic and political distress.
"In the short term, gold will struggle because the U.S. data will continue to be pretty good," said Jeremy Friesen, commodity strategist at Societe Generale in Hong Kong.
But he added that the global inflation outlook is firming due to ultra-loose monetary policies adopted by central banks in key economies, which will benefit gold as an inflation hedge.
"Growth looks better so the market is shifting out of risky low-yield asset or zero-yield assets to equities, but inflation concerns are opposing that and maybe sustaining some interest in gold."
Rising oil prices may also stoke worries about inflation. Benchmark Brent crude perched near a more than three-month high on Wednesday.
In other metals, spot platinum rose 0.3 percent to $1,680.24, headed for a second straight session of gains, after news that Anglo American Platinum, the world's top platinum producer, has delayed job cuts to allow time for talks with the government and unions.
Spot silver traded nearly flat at $31.39. India's silver jewellery exports are expected to jump up to 30 percent this year as world demand picks up, said India's Gems and Jewellery Export Promotion Council.