Gold price has been on a bullish run since 2018 with the lowest level at 1165 per ounce. Price reached the all time high of 2073.63 in August 2020. The year 2021 has not been a good year for gold Investors as price plunges. Each time price of $XAUUSD tries to rally since August 2020, it dips further. After $XAUUSD price maintained a bearish turn in the first-two weeks of April, price broke a resistance level at 1746 per ounce, the rally was extended to 1789. Despite a bearish turn since the beginning of this year, April is the first month with a reasonable gain in gold price with over 26.8% gain of the year losses.
Could it be that investors are worried despite the ease in the lockdown across the world? The trend since August 2020 shows that there have been lower highs and lower lows as a result of the plunge. Price of $XAUUSD could fall further. A reversal from the rally could make price plunge to the support level at 1740.536. There have been a double top indicating a likelihood of a continuous dip. RSI shows price is currently overbought.