The price of gold which shrank lower on Wednesday yesterday is seen to continue its decline to a lower level today (Thursday).
The US dollar, which is still maintaining its strength, is a factor that continues to push the price of gold to continue to decline towards the end of this week.
The fall in the value of gold in the market is translated on the XAU/USD chart which measures the value of gold against the US dollar.
It became a concern for investors when the price started to plunge below the 2000.00 level last Tuesday.
The decline continued to reach around 1975.00 in the New York session yesterday but rebounded slightly before the end of the session closed around 1980.00.
The price movement was slow in the Asian session this morning, but moving to the European session, the price started to show a pattern of decline to the latest low over yesterday's trading.
The trend remains bearish with investors seeing price movement signals that remain below the Moving Average 50 (MA50) barrier level on the 1-hour time frame on the XAU/USD chart.
The drop in price if it passes the 1970.00 level can be seen to reach around 1950.00 which is seen to be the latest support zone for the price.
Reaching that level will record the lowest level of the gold price for the 6-week trading period.
But the situation will change the other way around if the price of gold starts to change direction and make an increase again.
The 2000.00 level will be reached again after the rise above the MA50 barrier will give an early indication of a change in trend for gold prices.
