GOLD Analysis – Hovering at $2,030, Gold Still Losing Direction?


Of course, the movement of gold prices still does not give a clear direction, but it is a relief for investors when the price still survives a fall.

Throughout this week, gold trading is seen to continue hovering around $2,030 which was the previous price focus zone.

The US dollar currency, which affects the movement of gold, was hit by uncertainty when economic data from the United States (US) was published throughout the week.

The reading of economic growth that was slightly off from yesterday's reading made the US dollar weaken and pushed the price of gold up.

While PCE consumer personal spending index data will be the next focus in the New York session later tonight.

Examining the XAU/USD chart which measures the value of gold against the US dollar, the price drop can also be seen to occur to around 2025.00.

Investors are alert for the risk of a price drop when the movement is below the Moving Average 50 (MA50) barrier line on the 1-hour time frame of the chart.

However, the price managed to recover to bounce above the 2030.00 level and also passed the MA50 barrier which indicates a change for a bullish movement for gold.

The slow price movement in the Asian session this morning continues to the European session which is seen hovering around 2034.00-2037.00.

Price movements are expected to be more vigorous in the New York session later tonight which will be influenced by the reaction to the PCE index data.

If the price dips back below the 2030.00 zone, this will be a warning to investors for a more severe fall again for gold.

The price drop target can reach up to the target concentration level at 2000.00.