January 11, 2022

GOLD Analysis - This Is What Investors Want! Gold has climbed back above the $ 1,800 price level

 The return gave a new light to investors as gold trading rose today (Tuesday) higher after crossing the important level of $ 1,800.

If you look at the price movement on the XAU/USD chart, the price has been moving horizontally since last Friday continuing this week's market opening with the 1800.00 level being a bulwark preventing the price from going higher.

The initial rise in prices in the European session yesterday tested the 1800.00 level before declining again. Still, the price is supported by the Moving Average 50 (MA50) support level on the 1 -hour time frame which gives an early signal to start the next rise.

The rise is seen to happen again towards the end of the New York session and resuming trading in the Asian session this morning, the price continued to rise above the level of 1800.00 to the level around 1810.00 as of 4.30 pm Malaysian time.

The rise is expected to continue towards the 1815.00 zone before reaching the key resistance level at 1830.00.

The resistance level has not been broken after the 7 -week trading period.

As for the expectation of a resumption of gold price decline, the 1800.00 level is seen to be the latest support level of the price.

On the other hand if the price slips lower below the 1800.00 level and passes the MA50 support, the bearish trend on the XAU/USD chart is expected to start.

The initial decline will test the support zone at 1785.00 before a continued decline will head to the important zone of 1760.00.