Investors are wary of trading positions in the market ahead of the FOMC meeting early Thursday morning in anticipation of further policy easing by the Federal Reserve.
While expectations for the US economic stimulus package to provide positive results are increasingly pressing US dollar trading in the market this week.
The development of vaccines with early distribution also restored market sentiment as well as the current Brexit negotiations showed good progress although investors remained cautious.
The continued depreciation of the US dollar in the market has also led to an increase in the value of gold since yesterday.
On the XAU / USD price chart, the price has started rising since the beginning of the Asian session and continued to the European and New York sessions before closing trading horizontally above the 1850.00 level in the SBR zone (support become resistance).
Prices are still seen hovering in the zone during today's trading (Wednesday) with the expectation of further bullish activity following the price movement above the Moving Average 50 (MA50) support level in the 1 hour time frame for a bullish trend signal.
A higher rise will re-test the resistance zone of 1875.00 tested last week before the decline again.
If the price of gold falls again and exceeds the support level of MA50, the weekly support level around 1820.00 will be tested before the continued decline will lead to the focus level of 1800.00.
Investors will continue to monitor key issues in the market that affect market sentiment as well as the movement of current gold trading value.
