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Gold Price Forecast – Gold Markets Continue to Show Strength

By:
Christopher Lewis
Published: Aug 31, 2020, 15:27 GMT+00:00

Gold markets continue to show strength in general, as we see plenty of upward mobility. I believe that we are going to go looking towards $2000 yet again.

Gold

Gold markets have pulled back just a bit during the trading session on Monday to kick off the week but found enough buying pressure underneath the turn things around and show upward proclivity later in the day. Ultimately, I do think that the market will find enough reasons to go higher, especially as the Federal Reserve continues to do everything, they can bring down the value of the US dollar. This of course helps gold in general, as we continue to see traders trying to protect wealth. Ultimately, this is a market that is in a huge uptrend anyway, so at this point I like buying dips.

Gold Price Predictions Video 01.09.20

At the moment I look at this chart as one that has a massive amount of support at the $1900 level, which is also the scene of the 50 day EMA. With this being the case, I think it is only a matter of time before the buyers jump in and pick up value. If we were to break down below $1900, I would be more than willing to jump in and try to take advantage of even more support and value down at the $1800 level. That is the scene of a major breakout, so I think it is only a matter of time before a lot of momentum chasers would jump back in and start buying gold at that point. A break above the recent high from a couple of weeks ago would send this market looking towards the $2100 level. A break above there then opens up the door to $2500 which is my longer-term target.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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