Gold trading continued to show a recovery over the weekend with the price increase displayed getting closer to the $ 1,800 level again.
On the XAU/USD price chart which measures the value of gold against the US dollar, the price was previously seen to have plummeted as soon as it reached the level of 1800.00 last week.
The decline however is supported at the 1765.00 price zone to gradually rise again since the beginning of the week.
Gold is seen as more of an investor attraction in a market environment that is still risky even though the US dollar has also returned to record a recovery.
If the price movement is examined, the support level of Moving Average 50 (MA50) on the 1 -hour time frame is seen to support the bullish pattern for gold to continue rising over the weekend.
After the price flattened at the level of 1780.00 and also tested the MA50 level in the New York session yesterday, the price has continued to rise up to the level around 1794.00 as of today’s European session.
If the upward momentum is successfully maintained, investors will once again see the 1800.00 focus level be re -tested.
A stronger jump in gold price that manages to pass the 1800.00 level will record the latest high level of gold for the 5 -week trading period.
On the other hand, if the price plummets again, the support level that was the focus yesterday at 1780.00 is expected by investors to remain supportive of the price increase.
However, if the decline fails to be contained, the next price focus support zone is seen at 1765.00 as tested earlier this week.
