Adding to the anxiety of investors at the end of the week as gold trade slowed and flattened. Will there be any surprises in the final sessions?
The gloomy US dollar currency on Thursday trading yesterday due to the closed United States (US) market also affected the slow price movement for gold.
If observed on the XAU/USD chart which measures the value of gold against the US dollar, the price hovered slowly below the 2000.00 zone throughout Thursday yesterday.
Last Tuesday and Wednesday, the price increase tested the 2000.00 zone, but was seen struggling to maintain a position above it before retreating back down again.
Until resuming trading today (Friday), prices slowed below the 2000.00 zone with prices flat around the 1993.00 level.
Investors are likely to be cautiously awaiting US manufacturing and services PMI data to be released in the New York session soon which is expected to influence the US dollar currency and also the value of gold in the closing market of the week.
If there is a rise, the 2000.00 zone will be tested as an important resistance that will determine the next direction of gold.
If the price manages to break through strongly, the move higher will continue for the price to record the latest high.
The target is to head towards around 2030.00 which was last reached in last May's trade.
On the other hand, if the price plunges, the price will test the 1980.00 zone before falling lower towards the target at 1950.00.
