The gold market was in a sideways state in the afternoon session after the price made a decline in the morning session.
The situation of the price retreat was driven by the recovering market sentiment causing the attraction to gold to decrease.
However, gold still has the potential to rise again following the still uncertain market environment with the ongoing tension in the Middle East.
Gold's flat situation may be due to investors who are cautiously awaiting the PPI data that will be released tonight.
In the New York session tonight, the PPI data that measures producer inflation in the United States (US) could have an impact on gold trading.
The data will also provide an early insight into the US consumer inflation (CPI) report on Wednesday which is expected to have a greater impact on gold.
On the XAU/USD chart which measures the value of gold against the US dollar, the price is seen to have jumped at the opening of the week yesterday from around 2430.00 until it reached 2470.00.
But the movement has decreased until the price level of 2459.00 this morning.
If the rising pattern is able to continue after this, the price may reach the level of 2473.00 again.
If the resistance is crossed, it is likely that the 2483.00 zone will be the focus because that level is the highest zone in history reached last July.
On the other hand, the price risks falling back to the 2430.00 zone to show the bearish trend again.
A lower drop past the 2430.00 zone will make 2400.00 the next target.
