Gold Price Forecast – Gold Markets Pullback on Tuesday

Gold markets have pulled back a bit during the trading session on Tuesday as we continue to see a lot of concerns back and forth when it comes to the economic situation. There are serious concerns of deflation, and that is of their narrative for selling gold. However, central banks printing currency with abandon could drive up concerns about inflation and devaluation of the US dollar. A lot of the noise that we have seen at this point could be based upon safety more than anything else. If the market looks very dangerous, some people will buy gold for safety. Gold typically gets more of a bid than other precious metals and tends to be more stable.

Gold Price Predictions Video 11.03.20

The $1650 level has offered a bit of support so if the market were to break down from there it’s likely that it would go looking towards the $1600 level. That is an area that should attract a certain amount of attention, not only due to the fact that the level is a large, round, psychologically significant figure, but it also has the 50 day EMA racing towards it. Adding even more validity to the area is the fact that the level is also the top of an ascending triangle that we had recently broken out of. With that in mind, I do think that the $1600 level will be a very interesting place to get long of gold if we get the opportunity. Otherwise, we should bounce from the $1650 level and go looking towards $1700 level again. Either way, I don’t have any interest in shorting gold.