Gold Price Forecast – Gold markets pull back

Gold markets are pulling back a bit during the trading session on Wednesday, reaching towards the $1325 level. If that level can hold, then a bounce back towards the $1350 level could happen. However, I see even more support underneath based upon the trend line, and of course under their based upon the 50 day EMA hanging about the $1300 level, which is a large come around, psychologically significant figure.

Gold Price Video 28.02.19

It’s not until we break down below the $1300 level that I would begin to be a bit concerned about Gold markets, or perhaps if we get some type of explosive move to the upside in the US Dollar Index. The dollar has been somewhat resilient, but while it has been okay, the gold market has been grinding higher. Why is this? It’s very likely that you are witnessing a lot of central bank buying, and a lot of concerns about inflation. In fact, the Federal Reserve has just suggested that they are comfortable with the higher inflation rate before raising rates again, meaning that we should naturally see a bit of a bid for precious metals overall.

We also have a lot of concerns about global growth, the economies of several countries around the world, and a whole host of other issues. With that, a lot of people will be looking to pick up gold for safety, and of course to preserve some of their wealth. I believe that the markets are going to continue to go higher, but we may get a little bit of a slight pullback from here.

Please let us know what you think in the comments below