Investors' attraction to gold as a safe haven asset continued to be shown until the price reached a new record high last week.
In the final sessions last Friday, the price of gold reached a peak of $3,245 for its latest all-time high (ATH).
The record was achieved after a 3-day consecutive price increase that jumped from the $3,000 zone which rebounded from the previous fall.
Observing the movement on the XAU/USD chart that measures the value of gold against the US dollar, the bullish pattern is still maintained as the price is above the Moving Average 50 (MA50) line on the 1-hour time frame on the chart.
The price surpassed the 3220.00 level before reaching a high of 3245.00 at the close of last week and the slow price movement at the beginning of this week hovered within that range.
Although the momentum faded in the early sessions, analysts expect there is still potential for gold to continue to hunt for new record highs again.
Gold is likely to continue its upward trend this week with the nearest target set at 3300.00.
However, investors should be cautious if there is a change in price direction that could trigger a drastic move downwards.
A decline in gold prices, if it occurs, is seen to head towards around 3150.00 to test that important zone first.
Continuing the decline lower will also target focus levels around 3060.00 and 3000.00.
