This week’s gold price move once again attracted the attention of investors with the increase exhibited yesterday after flat on the previous day.
At the beginning of the week it can be seen that the price on the XAU / USD chart which measures the value of gold against the US dollar has risen testing the concentration level of 1900.00. But prices fell again after touching that level.
The same scenario was repeated in the Asian session this morning when prices that continued to rise since the previous New York session to the 1900.00 level made a decline again.
For a period of 2 weeks trading, this is the third time the price has tested the 1900.00 concentration level but failed to break higher.
The bearish move is likely to return to the support level of 1875.00 before the next bullish attempt.
The European session saw a slight increase in prices on display.
However, if the price of gold continues to fall, the price is seen to go to the RBS zone (resistance become support) at 1850.00.
On the other hand if the price of gold manages to soar above the 1900.00 level, investors are likely to expect higher increases to continue with the focus levels of 1910.00 and 1938.00 being observed.
Market sentiment is still focused on the development of the US economic stimulus package which also affects the value of gold in the current market.
