Gold prices are still holding to hover above the $ 1,800 level for 3 consecutive weeks after a price spike past that level in early July.
On the XAU/USD price chart which measures the value of gold against the US dollar saw the price decline at the beginning of the week testing the 1800.00 support zone.
However, the price failed to break lower before rebounding to record a high of around 1825.00 on Tuesday yesterday.
However, the rally did not last long when the price receded to close the trade below the Moving Average 50 (MA50) barrier level on the 1 -hour time frame on the XAU/USD chart for a bearish signal.
This morning's Asian session saw gold prices slow and then slightly rise at the beginning of the European session to the 1813.00 level, testing the MA50 barrier but failing to break it.
The price started to decline again and is expected to reach the level of 1800.00 to test the zone like the situation earlier in the week.
If the zone is still able to contain prices from falling lower, investors can breathe a sigh of relief and remain in anticipation for gold prices to continue to hit their latest highs.
The 1830.00 level reached last week needs to be tested for the price to continue rising towards the SBR (support become resistance) zone at 1850.00.
However, if the price falls again below the 1800.00 level, the previous focus levels around 1765.00 and 1745.00 are seen to return to the price attraction zone.
Monitor important levels of gold prices as well as current sentiments that influence current gold movements.
