The gold price movement showed an upward pattern for Tuesday’s trading despite still being in a bearish trend.
On the XAU/USD price chart which measures the value of gold against the US dollar, it can be seen that the price is hovering in the focus zone with the 1680.00 level being the price support level.
The decline that tested the level again showed a rebound in the Asian session this morning towards the 1700.00 level.
A price increase that passes the Moving Average 50 (MA50) barrier level in the 1 -hour time frame of the price movement is likely to give an early signal of a change in the gold price trend again.
Earlier, analysts also saw the 1700.00-1680.00 zone as a support zone for the price to rebound if it fails to continue lower.
However, the strengthening situation of the US dollar from last week to the beginning of the week is seen to continue to put pressure on the current value of gold.
If the US dollar manages to maintain its strengthening and press the price lower, the bearish trend will continue and the price may fall lower below the 1680.00 level.
With the latest 9 -week low, the price is expected to continue declining to around 1660.00 or lower.
However, if the price manages to jump higher with a bullish trend change signal, the nearest resistance level is seen at 1720.00 before going to the SBR (support become resistance) zone of 17650.00.
