Examining the price movement on the XAU/USD chart which measures the value of gold against the USD seems to present a slightly brisk pace during the opening of the New York session yesterday (Thursday).
The 10 -year U.S. treasury yield, which showed a surge as well as a good reading from the U.S. consumer personal spending index, has completely pushed the price of gold back to decline.
But then the decline seemed to be unsustainable after the price once again climbed to continue hovering around the 1800.00 zone and the Moving Average 50 (MA50) barrier level.
Gold trading is seen to continue to have the opportunity to remain inclined to record a rise following the greenback dollar is still haunted by the weakness of risk-on market sentiment at this time.
Indirectly it also illustrates that investors are a little appetizing in the market environment after taking positive developments about Omicron as a result of expert research.
In the meantime, the market is likely not to ignore the measures to reduce bond purchases (tapering) and earlier interest rate hikes that the Federal Reserve (Fed) wants to do.
That is, the move is expected to deliver a strengthening to the greenback dollar and thus will put pressure and influence the movement to depreciate more severely.
But the gold market as well as most commodities appear to be closed in trading today (Friday) as a handful of investors and the market are preparing to celebrate Christmas day.
Therefore, analysts expect that price movements will likely create a gap at the beginning of next week’s trading opening.
The 4 -week high around 1814.00 will remain the main target of investors if the price continues to rise before the price is expected to display an attempt to test the 1830.00 zone.
On the other hand, if on the other hand, the 1800.00 zone will definitely be used as a zone that will be touched first if the price goes down again.
