The movement of gold prices since the close of trading last week until yesterday still continues to make investors nervous as they watch for signs of a clearer direction.
As of today's trading session (Wednesday), the price of gold remains hovering in the $2,030 zone as investors continue to puzzle over the end of the week whether to see the price of gold soar or plunge lower.
Investors watching the movement of the US dollar currency which affects the movement of gold are now looking forward to the release of the United States (US) economic growth data for the last quarter of 2023 on Thursday.
The XAU/USD price chart which measures the value of gold against the US dollar showed an increase to the 2038.00 level yesterday, but the price retreated back down again and leveled below the 2030.00 zone until the close of the New York session.
The price movement hovering around the Moving Average 50 (MA50) line on the 1-hour time frame on the chart also makes it difficult for investors to assess the direction of further movement for the price.
If price gains are successfully displayed after this beyond the 2030.00 zone, the current resistance level below 2040.00 will be the closest focus for price to test.
Next, the resistance level at 2050.00 will be the next focus on the continued bullish pattern.
However, if the current price fails to break through the 2030.00 zone, another drop in price should be expected for investor preparation.
The price drop is seen to target 2000.00 which is the price support zone with the reaction also displayed last week.
If it breaks below the 2000.00 level, the price will record the latest 6-week low with the next target being at the 1970.00 zone.
