It was good news for gold investors during Wednesday's trade where gold prices once again showed a resurgence.
Initially, ahead of the opening of the New York session the price was seen to make a decline again as seen on the XAU / USD price chart which measures the value of gold against the US dollar.
However, after the price dropped testing the support level of Moving Average 50 (MA50) in the 1 hour time frame of the price movement, the rise was re-displayed above the 1850.00 level.
The price jump around 370 pips to around 1870.00 makes investors more confident for the value of the yellow metal to continue moving higher this week.
Continued price movements on Thursday were seen slower in the Asian session while prices fell slightly after touching the resistance level of 1875.00 at the beginning of the European session.
If the resistance fails the price, it is likely that investors will see a drop in the price of gold to the level of 1850.00 or even lower towards the focus level of 1800.00.
On the other hand, if the price manages to jump past the resistance of 1875.00, the higher price increase is targeted again to the level of 1900.00.
Investors are still researching and understanding the policies introduced by Joe Biden at the beginning of his term as the new President of the United States.
It is likely that a proposed policy will influence investors' views on gold projections in the future.
