In anticipation of price movements in the critical zone, gold investors smiled happily at the opening earlier this week when the value of the precious yellow metal commodity posted another surge.
The price of gold traded above the $2,000 level at the opening of the Asian session this morning (Monday) and then showed a higher increase, recording the latest highest level since last May.
The driving factor for gold is the pressure on the US dollar which is seen to continue heading into the FOMC meeting in December.
The latest indicators based on the economic data of the United States (US) this week will continue to be observed for the market to evaluate the tendency of the Federal Reserve's (Fed) monetary policy further.
The XAU/USD price chart which measures the value of gold against the US dollar was focused on last week with an important level around 2000.00.
If observed, the price tested the zone on the rise earlier in the week but found it difficult to break through.
Until the end of the week, the price hovered slowly below the 2000.00 zone before trading in the last session again reached that level.
In the Asian session early this morning, a surge was exhibited until the price reached a new high at 2018.00 before slowly leveling off in the European session around 2010.00.
Price movement above the Moving Average 50 (MA50) support on the 1-hour time frame on the XAU/USD chart remains a bullish signal for gold trading.
With the current situation, it is not impossible that gold prices can continue to rise higher towards the next target in the 2030.00 zone.
Will be a bearish trend change signal for gold if the price falls back below the 2000.00 level.
The decline in price can return to the levels of focus on previous trades such as around 1980.00 or up to 1950.00.
