Closer to analysts' expectations, gold prices continued to rise towards the $ 1,800 focus level and returned to cheer for gold investors.
The US dollar's return to decline following a decline in US treasury yields opened the way for the value of gold to rise after showing a decline earlier in the week.
Apart from that, risky market sentiment was also a factor in increasing the demand for gold as an asset-haven following reports of an increase in Coronvirus cases in India which invited a third wave.
On the XAU/USD price chart which measures the value of gold against the US dollar, the price was seen continuing to rise on Wednesday after rebounding from the 1765.00 level in the RBS (resistance become support) zone which was hit last Tuesday.
The price in yesterday's trade moved above the support level of the Moving Average 50 (MA50) on the 1 -hour time frame to signal that the price will continue to rise.
Despite a slight decline at the beginning of the European session yesterday, the price then continued to rise until it almost touched the resistance level of 1800.00.
Today's trading is seen as still not able to touch the level of 1800.00 as of the European session.
Still, analysts expect the long -focused 1800.00 level to be successfully broken by the end of this week.
If the rise manages to break 1800.00, the price will record the latest 8 -week high is expected to head to the level around 1815.00.
On the other hand, if the price of gold plummets again, the RBS 1765.00 zone will be tested again by the price and investors will hope for the price to continue rising from that zone.
If the price falls lower, the previous focus levels such as 1745.00 and 1720.00 will return to the price focus for the next decline before heading to the 1700.00 level.
