Despite showing a bullish pattern at the close of last week, gold trading failed to maintain the positive momentum at the opening early this week.
On Monday, gold prices only reached $3,375 for their highest level before experiencing a decline.
Gold investors are increasingly cautious in assessing the impact of tariff turmoil in addition to awaiting the release of United States (US) inflation data which will be a guide for the central bank in setting monetary policy.
Investor reactions will also influence the current gold price movement which still does not show a clear direction.
Observing the XAU/USD price chart which measures the value of gold against the US dollar, the price failed to exceed the 3380.00 level before the price decline reached around 3340.00 in the New York session yesterday.
Hovering around the Moving Average 50 (MA50) support line on the 1-hour chart before the price bounced back up in today's trading (Tuesday), it shows a bullish signal for gold.
The price increase will try to surpass the trading level of 3380.00 before the target at 3400.00 is reached.
Breaking through these important levels will trigger expectations for gold prices to reach their record highs again at 3500.00.
However, if the gold price shows a decline downwards, it is possible to surpass the 3300.00 level again.
Next, several focus levels such as 3250.00 and 3200.00 will be the focus of the price on the continued decline.
