The price movement on the XAU/USD chart which measures the value of gold against the US dollar is seen to be more flat this week compared to the bullish pattern displayed last week.
Risky market sentiment gives an advantage to safe investor assets such as gold to record an increase in value.
However, pressure from the US dollar also strengthened in the market as a safe-haven currency, supported by a 10-year surge in US treasury yields.
The 1830.00 price zone is still an obstacle for the rise in the price of gold on the XAU/USD chart with there are early indications for a bearish movement this week.
The price has moved horizontally below the Moving Average 50 (MA50) resistance level on the 1 hour time frame, hovering around the 1815.00 zone.
The price is seen to be more likely to move lower towards the focus zone again at 1800.00.
For a clearer price bearish trend, after the price decline below the 1800.00 level, the previous price support zone around 1785.00 and also 1760.00 will return to the focus.
On the other hand, if the price manages to rebound after a ‘break’ since last weekend, the rise is seen to test the 1830.00 resistance zone.
The price reaction in the zone will signal to investors whether the price can continue to rise higher while recording the latest 8 -week high.
For the expectation of an upward movement, the focus level will be directed around the 1850.00 zone and further at 1870.00 which is the resistance zone tested in last November trading.
