The situation of the movement of gold is getting more exciting when investors see the price start to show a fall yesterday before recovering again.
Is this an early sign for the fall of gold to begin?
Gold trading until the end of last week was positive with the trend of rising prices reaching the highest level in 5 months.
It can be observed on the XAU/USD chart that measures the value of gold against the US dollar, the price has shown a decline to around 1955.00 in the European session yesterday.
However, following the opening of the New York session, the price bounced back up towards the 1980.00 zone, which was seen as resistance tested from the beginning of the week.
Price movement was slow in the Asian and European sessions today (Wednesday) with prices hovering below the 1980.00 zone while testing the Moving Average 50 (MA50) resistance level on the 1-hour time frame on the XAU/USD chart.
If the price fails to move beyond the 1980.00 zone, the decline is expected to happen again for the price towards the 1950.00 concentration zone like yesterday.
If the breakthrough price ends up being lower, this will be a bearish signal for the fall in gold prices to occur. The initial target is to head towards around 1920.00.
Meanwhile, the forecast for the price of gold to continue its previous rise, surpassing 1980.00 will expect the price to return to the concentration level of 2000.00.
The latest high level has the potential to continue to be recorded by gold if it manages to maintain the bullish trend movement of last week.
