GOLD Analysis - Is Gold Trying to Break the $ 1,814 Level?

thecekodok

 The gold ray sparkled slightly at the end of the fourth quarter of the year after receiving support from a slump translated by 10 -year U.S. treasury yields.


Investors will also be assessing the current risk-on market sentiment which has already impacted the greenback dollar at a time when expert studies state that the Omicron variant is not annoying.


However, the Federal Reserve's (Fed) policy in speeding up the reduction in bond purchases (tapering) may come as a surprise for gold to continue to plummet.


Continuing to forget the downtrend, the price movement on the XAU/USD chart is seen to continue to present experimental action to test the 1814.00 zone at the beginning of the week for the close of 2021.


Prices also seem to make a bit of a ‘gap’ at the market opening today (Monday) before closing the ‘gap’ again and remaining traded slowly heading into the New York session soon.


The movement above the MA50 has at all influenced the price to maintain a bullish trend with the expectation that the price of gold will be able to record the latest highs.



However, the reason for the increase must be to reach the previous high level around 1814.00 first before the high probability for the price movement towards the next target.


The ability of the price to maintain a clearer bullish trend is likely to affect the price to reach the SBR (support become resistance) zone of 1830.00 which is also the investor focus zone.


However, if the price movement returns to show a bearish trend, the 1800.00 zone will probably be the first direction to be assessed by investors before it is expected to decline sharply.


A severe decline will push the price to track into a zone that often prevents an increase in early and mid -December at the RBS (resistance become support) zone around 1780.00.