Gold trade remained hovering at a 6-week high on Thursday yesterday as the market witnessed the yellow metal asset’s excellent performance amid the crisis.
The development of the global banking crisis continues to be monitored with actions taken to ease panic and anxiety.
Thus, the slightly calmed market prevented gold from continuing to rise higher, but remained flat yesterday after successfully rising last Wednesday.
On the XAU/USD price chart which measures the value of gold against the US dollar has seen the price hovering around the 1930.00 level, which is the highest level reached in the 6-week trading period.
Although the price movement was flat yesterday, the price is seen to be still above the Moving Average 50 (MA50) support level on the 1-hour time frame on the XAU/USD chart, maintaining a signal for bullish movement.
Continuing today (Friday), the price is still hovering in the 1930.00 zone with the expectation of an increase to 1950.00 at the same time recording the latest highest level again this week.
Although there are no signs yet for gold prices to fall, investors remain wary of this week’s increasingly risky trades.
If the price starts to move below the MA50 support level, the initial decline will first track the 1900.00 level.
If that key level fails to bounce price back up, a further decline could occur seeing price head towards the previous focus zone at 1870.00.
For further decline if the bearish indicators become clearer, the price of gold can plunge again reaching around 1830.00 or 1800.00.
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Title Of post: GOLD Analysis – Despite the Crisis, Gold Remains ‘Steady’ at the Highest Level in 6 Weeks
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