It seems that investors continue to take precautionary measures ahead of the FOMC meeting this week as the wait for the hawkish statement hurled by the Federal Reserve (Fed) continues to be awaited.
The wait is heating up as investors consider whether the move will go ahead or not in addition to Omicron's concerns which have already resulted in one death.
Meanwhile, the issuance of the US producer price data index (PPI) may be pre -evaluated which will be able to influence the movement of the greenback dollar.
The price movement on the XAU/USD chart which measures the value of gold against the USD seems to be a bit stagnant to soar after the price continued to maintain a slow and flat movement again.
This has also indirectly illustrated that the price of gold is still gloomy for almost 3 weeks and remains a question mark to investors in finding a clear direction.
However, the movement of gold price seems to give an indication to increase first as the price has traded above the Moving Average 50 (MA50) barrier level in the 1 -hour time frame.
This will indirectly make investors expect the price to reach the SBR zone (support become resistance) 1800.00 before targeting the latest target.
Penetrating the SBR zone which is also considered to be the most invulnerable zone at the moment will support a clearer price spike in displaying increases as well as is expected to test the 1830.00 SBR zone.
Continuing to remain the focus is on the 1760.00 support zone in case the gold price movement continues to make a decline again and will probably signal for the price to continue to decline.
A lower decline is likely to be seen when the price breaks the support zone which will push the gold price to record its latest lows.
