Gold investors are still looking for a clear direction for trading the commodity following the flat price movement in a relatively slow range.
The US dollar during the week has started to show a re-strengthening, but is actually still in a mixed situation.
The focus returned to the tone delivered by the members of the Federal Reserve (Fed) regarding monetary policy after the end of the FOMC meeting last week.
However, it is a warning for the central bank following the published NFP employment report with declining numbers.
The next indication will be obtained through the inflation data of the United States (US) next week.
Examining the XAU/USD price chart which measures the value of gold against the US dollar, the price movement is still hovering above the 2300.00 zone.
The high level around 2330.00 was successfully reached on the rise earlier in the week, but the momentum failed to continue.
The price movement that began to be below the Moving Average 50 (MA50) barrier on the 1-hour time frame on the XAU/USD chart was also an early warning for the risk of falling gold prices.
A drop below the 2300.00 level will reinforce expectations for the downward trend to continue.
Recent lows will be noted with the nearest price target being around 2270.00.
However, if the price manages to show a surge after this, the previous concentration level such as 2350.00 will be tested before the higher increase continues.
The highest price record remains at 2430.00 which was reached at the beginning of last April.
