Resisting anxiety, investors had to watch the price of gold fall back down to the $2,000 level last week.
The strengthening factor of the US dollar is seen to pressure the price of gold to trade lower again after the previous week managed to record an all-time high price of up to $2,080.
The uncertain market situation, especially the focus on the debt ceiling issue in the United States (US), is seen to limit expectations for further movement for commodities.
It can be observed that the XAU/USD chart which measures the value of gold compared to the US dollar which failed to reach the level of 2050.00, fell back towards the level of 2000.00 last Friday.
However, there was a rebound before the price closed the end of the week trading around 2010.00.
The price movement is still seen moving below the Moving Average 50 (MA50) barrier level on the 1-hour time frame on the XAU/USD chart, indicating that the bearish movement will continue.
If this week the price of gold still maintains a downward pattern, it is likely that the price will drop lower and break through the 2000.00 level which is now seen as a support level for the price.
A lower breakout will push expectations for the gold price towards the 1950.00 level which is the previous price focus.
However, if the price remains above the 2000.00 zone and there is a significant jump above the MA50 barrier, it is likely that the price of gold will show a recovery this week.
The 2050.00 zone will once again be the target this week after last week's rally failed to touch it.
