Gold has traded below the $2,000 price level in the European session today. Gold is seen to have repeatedly failed to break through the $2,010 price level thus indicating that investors are now waiting for the right opportunity before continuing to buy.
The New York session market will close today following the "Thanksgiving" holiday, prompting investors to refrain from aggressive business transactions.
Nevertheless, the 'dovish' sentiment that has been released by the Fed recently continues to be the main factor in driving the movement of gold.
Technical Analysis
If gold is seen to be able to break through the $2,000 price level, the next resistance is around $,2010.
The sentiment of the gold market is now seen to be more on the side of the "buyer". Therefore, the continued extension of the price can reach up to $2,022-$2,040. But if it's the other way around, the $1,988 level is expected to be the price floor before continuing to fall into the $1,978 and $1,965 price levels.
Any aggressive movement can drive the price of gold to continue falling to the level of $1,940.
As such, investors are now seen waiting for the next US economic indicator on Friday which is the S&P Global PMI data. The initial expected data is seen to increase positively to a reading level of 49.8 for manufacturing while 50.4 for the PMI service data reading.
