Gold Prices August 20, 2012, Technical

By FX Empire Analyst - Christopher Lewis
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Gold had a very flat and uneventful day on Friday as the markets simply went sideways. The $1640 barrier is still above, and until we get above that we aren't comfortable buying. However, based upon the recent action you certainly wouldn't want to sell this market either. We are essentially holding until we get that breakout that we think is coming.

With the central banks around the world getting ready to print more currency, it makes sense that the gold market will go higher as Fiat currencies simply won't be trusted. With this being said, gold is the closest thing to a "hard currency" that you can find in the markets, and as such it has high potential to skyrocket in value. We are not selling this market under any circumstances until we get below the $1500 level.

Gold Prices August 20, 2012, Technical

Gold Prices August 20, 2012, Technical

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