After moving sideways for several days until the middle of this week, gold prices finally exited the sideways zone to trade lower towards the end of the week.
Positive developments regarding the tariff war between the United States (US) and China, which are seen as ready to go to the negotiating table, have reduced the tension in the market before.
Attraction to gold assets began to fade while the US dollar currency is increasingly showing recovery even when US economic data came with worrying readings.
Investors are more cautious for gold trading at the end of the week with focus being directed to the NFP jobs report to be published in the New York session today.
Observing the price movement on the XAU/USD chart which measures the value of gold against the US dollar, the price decline was displayed yesterday Thursday to resume the previous price drop pattern.
The price returned to the level of around 3200.00 in the New York session yesterday before slowly showing a rise again in the Asian session trading this morning.
In the European session, the price was seen testing the Moving Average 50 (MA50) resistance line on the 1-hour time frame of the chart.
Failing to continue the rise higher, the price risks falling lower below the 3200.00 zone with the attraction towards gold fading.
If it continues, the gold price could reach the 3000.00 zone again, which is getting further away from the previous high of 3500.00.
Meanwhile, if the price continues to rise above the MA50 barrier and the 3270.00 level, investors will be optimistic again expecting the potential for gold.
Next, the price will target the 3500.00 peak again after finishing a brief 'rest' from the continuous rally throughout 2024.
