Gold investors at the end of this week can't be too excited because it seems that the price movement of the yellow metal has started to slow down yesterday.
Previously there was a significant jump in prices when the market reacted to the FOMC meeting which has caused the US dollar currency to depreciate significantly with the signal of policy easing by the Federal Reserve (Fed) for 2024.
This situation also gave impetus to the current movement of gold with a strong surge to show a recovery from the continuous losses since the beginning of the month.
The XAU/USD chart which measures the value of gold against the US dollar is closely watched this week.
After a powerful surge in price from the 1980.00 zone that penetrated the 2000.00 level, the price has managed to stay above 2030.00 for several sessions yesterday.
The price movement was slow in the Asian session yesterday, slightly increased in the European session but failed to touch the 2050.00 level.
The decline occurred again in the New York session with the United States (US) retail sales data as well as jobless benefit claims recording good readings.
However, the price retreat was not very significant and continued to hover above the 2030.00 level until trading resumed today (Friday).
Analysts still see gold prices rising again, but the resistance at the 2050.00 level needs to be overcome first.
If the price manages to continue to rise past it, then the price is expected to reach a higher target which is around 2070.00.
However, it is not impossible for investors to see the price of gold plunge again at the close of trading this week following profit taking activities in the market.
A drop below 2030.00 will test the 2000.00 focus level before the price support zone at the beginning of the week at 1980.00 will be hit again.
