On the XAU / USD price chart which measures the gold value against the USD seems to have featured a jump of more than 300 pips from the 5-month high of last week around 1880.00.
Yet RBS Zone (Resistance Become Support) 1850.00 continues to strengthen the potential in curbing from a significant fall and maintaining the movement of gold prices remains horizontally.
Gold trading was also seen to begin translating the initial signal of the decline after the price continued to be traded below the Moving Average 50 (MA50) barrier level for the trend change signals.
The spike of the US Treasury Revenue of the United States (US) and the Greenback dollar enthusiasm to reach the highest level of the highest continues to destroy the dream of gold from continuing to show excellent action.
The influence was also strengthened by the expectation for the Federal Reserve (Fed) to take a tapering step after the Fed member issued a proposal to increase interest rates immediately.
Winging up gold pursuits from continuing to jump is follow-up market sentiment at risk due to a recurrence of COVID-19 cases that cause the market more attracted to the Greenback dollar to increase cash holdings.
If the price on the XAU / USD chart continues to fall to showcases a decline, the next RBS zone in 1830.00 is seen to be tested if the RBS Zone 1850.00 is currently able to get over.
The lower decline will see the price of gold towards the previous resistance zone at 1800.00 to return to the strongest RBS zone in assessing a clear bearish signal.
The capacity for gold prices soared to be witnessed if the pricing was successfully testing the 1880.00 resistance zone and also a 5-month height before staying up to the highest peak.
The climb to the highest peak will show the gold price movement towards the resistance zone around 1900.00-1910.00 before being evaluated by investors to anticipate further targets.
