More relieved gold investors saw the successful surge continued by the yellow metal trading in Thursday's trading yesterday.
Examining the price movement on the XAU/USD chart which measures the value of gold against the US dollar, the price increase displayed yesterday has finally managed to overcome the resistance of 1950.00.
If scanned last week, the price has slipped below that level and tested the support level at 1900.00.
Yet the price made a rebound after the reaction of the FOMC meeting before the price was blocked at the resistance level of 1950.00.
After flattening below the 1950.00 level to continue earlier this week, the bulls finally managed to break through the resistance before hitting a high around 1965.00 in the New York session yesterday.
After testing the SBR (support become resistance) zone, the price declined slightly in today's trading (Friday) but still hovered above the 1950.00 level.
Investors are still optimistic for gold to continue rising with a bullish signal of the price being above the Moving Average 50 (MA50) support level on the 1 -hour time frame.
Expectations for the rise in gold prices to continue at the close of trading this week will lead to the 2000.00 focus level.
If it crosses that level, it will strengthen investors' expectations to see the price of gold return to the high of 2070.00, the highest price zone of all time for gold.
On the other hand if the gloomy price re -falls below the 1950.00 level, investors need to be prepared for a lower price decline again.
The support zone at 1900.00 that was tested last week will be hit again after the price signaled for a change in the bearish trend.
