There has been no significant change in gold trading which is still hovering in the $ 1,800 price zone since last week and continuing into the beginning of this week.
In Monday trading yesterday, the price was seen trying to make a decline below the $ 1,800 level before rising again above that level before closing trading on the New York session with a slow movement.
Current market sentiment as well as the movement of the US dollar is monitored by investors which influences the movement of gold price.
The United States (US) inflation data to be published tonight as well as a speech by Federal Reserve (Fed) Chairman Jerome Powell on Wednesday will be of concern.
On the XAU/USD chart which measures the value of gold against the US dollar can see the price’s initial attempt to make a decline below the 1800.00 level. After hitting the 1792.00 level, the price started to rise again before slowing down at the 1805.00 level.
Continuing trading on Tuesday morning’s Asian session, gold price moved slightly higher around 1810.00 but failed to show a clear rise despite price movement playing above the Moving Average 50 (MA50) support level on the 1 -hour time frame for the uptrend signal.
It is likely that investors will see a clearer price trend after US inflation data is published in the New York session shortly.
A continued rise will test the 1820.00 resistance zone before a clearer rise will push the gold price back to the SBR (support become resistance) zone at 1850.00.
Meanwhile if the price makes a decline below the 1800.00 level past the MA50 support, investors will be prepared for a fall in the price of gold.
The decline may reach back to the previous focus level around 1765.00 and the support level of 1745.00.
