The European market session began to see a decline in the value of the US dollar and allowed other major currencies to rise.
Price movements in the market are expected to be more turbulent and volatile during the New York session with the start of the US presidential election which is the main focus of the week.
Following the depreciation of the US dollar has also given room for the price of gold to rise again with the increase has been on display since trading earlier this week began although the price increase is relatively slow.
Given the movement of the gold price on the XAU / USD chart, the price has risen from the support level of 1875.00 at the beginning of yesterday's Asian session to the important level of 1900.00 in the SBR zone (support become resistance).
Continued trading today (Tuesday) still shows the price moving slowly below the 1900.00 level with a decline to the Moving Average 50 (MA50) support level in the 1-hour timeframe again seeing the price rise again in the European session with the US dollar depreciating.
The 1900.00 level is seen as a determinant of the direction of further movement for the price of gold.
If the price manages to penetrate the zone, a price increase to a higher level will be expected. The 1910.00 level will be the focus before the continued rise will lead to the 1930.00 resistance zone.
However, if the price falls again, the support level at 1875.00 will be the closest focus before the price tests the low level reached last week around 1860.00.
Traders are advised to be vigilant and control the trading risk best with the expectation of volatile movements for subsequent trading sessions.
