Gold Price Forecast – Gold Markets Pullback to Kick Off the Week

Gold markets pulled back a bit during the trading session on Monday as we have seen the $1750 level offer a bit of resistance. By pulling back from there, it shows that we continue to see a bit of resistance above, but quite frankly this is a bullish market for a reason. Central banks around the world continue to flood the markets with money supply, and that could drive inflation higher down the road. Ultimately, it comes down to whether or not that eventually weighs upon the economy. Furthermore, there will be less goods out there as the supply chain has been destroyed and is likely to continue to go through a lot of growing pains as companies divert around the world. In other words, this means that there will be more dollars chasing fewer goods. That is in and of itself the very definition of the word inflation, which gold is a hedge against.

Gold Price Predictions Video 28.04.20

If we break down from here, I believe that the $1650 level will more than likely continue to be supportive as well, especially considering that the 50 day EMA is in that general vicinity. It is sloping higher, and it is showing itself to be important from time to time, therefore I think it will be if we revisit that level again. To the upside, I believe that the $1800 level is resistance and breaking above their opens up the potential for a move towards the $2000 level over the longer term.