Gold prices opened higher at the start of the market earlier this week around the $1,850 level following the impact of the Palestinian-Israeli war conflict last weekend.
Gold investors first saw price action at the close of trade at the end of last week as focus shifted to the publication of the United States (US) NFP jobs data report.
Price movements on the XAU/USD chart which measures the value of gold against the US dollar are observed.
The New York session on Friday, after data was published showed the price falling to the level of 1811.00 following the initial strengthening of the US dollar.
However, the declining US dollar has pushed the price of gold to soar past the 1830.00 level which is the resistance tested since the beginning of the week.
The price slowed down around 1830.00 until the session ended, but the price that has surged past the Moving Average 50 (MA50) barrier on the 1-hour time frame on the XAU/USD chart is signaling a trend change.
A surprise at the beginning of the Asian session when the price of gold opened at the 1850.00 level and the price hovered below the 1855.00 level when the market was still assessing the current situation.
If the increase continues, the price that passes the 1855.00 level is seen to test the 1870.00 level which is one of the focus zones in the previous trading.
Next, a clear bullish trend will retarget to reach 1885.00 and 1900.00.
However, if the price goes back down to close the gap (gap) of the price opening at the beginning of the week, an interesting reaction is expected to be shown at the 1830.00 zone.
If the zone fails to push the price up again, the price will continue the bearish trend of the previous weeks to reach the target of 1800.00 which has not yet been successfully reached.
