Gold Price Forecast – Gold markets break down again on Wednesday

Gold markets have broken down significantly during the trading session on Wednesday, as money flows into the United States and away from riskier assets. The rising US dollar has pounded the precious metals sector, and we have now seen them break down. Now that we are well below the $1200 level, I suspect that Gold is going to go looking towards the $1140 level, and then perhaps even the $1100 level next. After that, the market has so much in the way of support at $1000 that I think it’s the “floor” in the market. At this point though, it’s obvious that rallies are to be sold unless you are a longer-term investor looking to pick up physical metal, then of course you can do so on these breakdowns in little bits and pieces, building up a larger portfolio. The $1200 level above is a massive resistance barrier, but we can break above there it’s likely that we will continue to go much higher as it would be a complete turnaround in the overall attitude.

This breakdown shows just how precarious the situation is, and emerging markets are getting absolutely pounded at this point. We are finally starting to see the stock market break down in the United States as well, so I think that we probably have a relief rally coming, but it should only offer a selling opportunity in the future. This is a market that continues to be very rocky and difficult, so ultimately keep your position size small but recognize that there are opportunities in both directions depending on your timeframe.

Gold Price Forecast Video 16.08.18