The attractive movement of the gold price is reflected on the XAU / USD chart as the market continues to be driven by the unfinished 2020 US Presidential election sentiment.
After the price showed a bullish pattern on Tuesday yesterday to the level of 1910.00, the price plunged back at the beginning of today's Asian session from the SBR (support become resistance) zone.
Around 350 pips the price hit the 1882.00 level witnessed before the price rose again to the focus level of 1900.00.
The 1900.00 level is seen as an obstacle for prices to soar higher with price movements starting to slow down in the European session. But there are signs that prices are continuing to decline.
Tough price movements are expected to make investors more cautious in the market while waiting for clearer signals based on subsequent election results.
If the US dollar trades weak again, prices could soar above the SBR zone 1910.00 with the target of a further rise towards the resistance zone 1938.00.
However, if the price falls again, important levels such as 1875.00 and support 1850.00 will be the focus of the price.
