Heading into weekend trading, the gold price movement is slower than the aggressive price fluctuations displayed earlier in the week.
After the US economic aid package report, which includes assistance to the people as well as government funds, was signed by President Donald Trump, investors who see economic sentiment recovering are likely to relinquish their holdings of safe-haven assets to switch to higher-return assets.
On the XAU / USD price chart which saw the price of gold reach the high of 1900.00 at the beginning of the week, the price moved lower again hovering above the support level of 1875.00.
On Tuesday, price movements were more flat as investors continued to monitor the development of aid packages where opposition from Senate Majority Major Mitch McConnell who disagreed with the $ 600 aid value to the people was raised to $ 2,000.
In today's trading (Wednesday), the price of trying to make a rise in the Asian session returned to the European session and hovered around the level of 1875.00.
If the price of gold continues to fall below the level of 1875.00, the price support level is seen in the RBS zone (resistance become support) 1850.00.
If that level fails to support the price of making a rise again, it is likely that the price will potentially fall back to reach the price level of 1800.00.
On the other hand if the price manages to make a surge, the focus level of 1900.00 will once again be tested to support a higher bullish momentum.
The rise above that level is seen to further facilitate the price of gold to reach the latest highs before the 2020 session trades close the curtain.
