At the close of trading on Friday last week, the price of gold once again managed to reach the $2,000 level before retreating again.
The restrengthening of the US dollar at the end of the week restrained gold's advance to continue its rise to recent highs.
However, can the situation last long?
Analysts still expect the US dollar to depreciate again following the ongoing banking crisis.
Investors examine the XAU/USD price chart which measures the value of gold against the US dollar last week with the 2000.00 level remaining a resistance for the price after being tested several times but still failing to break through.
A bearish signal for gold began to be evaluated when the price that fell from the 2000.00 level has moved down below the Moving Average 50 (MA50) barrier level on the 1-hour time frame on the XAU/USD chart continuing in early trading this week.
Hovering below the 1980.00 level, the price is showing a slow downward movement in the European session today (Monday).
If the decline continues, the price is seen to head towards the 1950.00 zone which was previously the price concentration zone.
After the bearish signal is clearer, a lower decline is expected towards up to around 1900.00.
But if the US dollar trades weak again this week, investors will once again be hoping to see gold record new highs.
Passing the MA50 barrier, the price will try to break through the 2000.00 resistance which will be a critical indicator for further price movement.
