Gold trading was still weak as of Thursday as it was still under pressure by the strengthening US dollar in the market after rising US treasury yields.
The XAU / USD price chart which measures the value of gold against the US dollar has shown the price to fall close to the level of 1700.00 in the New York session yesterday.
But the price still did not fall lower when the price rose again. The price increase however was hindered at the resistance of 1720.00.
Price movements below the Moving Average 50 (MA50) barrier level also still signal a bearish trend.
In today’s trading as well, a weak decline was exhibited in the Asian session before the rising price once again tested the resistance of 1720.00.
The decline is seen again in the European session with the price expected to return to the support level of 1700.00.
Investors see the price zone 1700.00-1680.00 as the support zone for the price to soar again.
If the price makes a surge again, the price level is seen at 1745.00 and also the SBR zone (support become resistance) 1765.00.
The movement of the US dollar is likely to be somewhat volatile ahead of the US NFP employment data report which also affected the current gold trade.
