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Gold Price Forecast – Gold Markets Rally Yet Again

By:
Christopher Lewis
Published: Jun 10, 2020, 15:38 GMT+00:00

Gold markets rallied a bit during the trading session on Wednesday, reaching towards the $1750 level.

Gold

Gold markets rallied a bit during the trading session on Wednesday, as we await the Federal Reserve meeting. Quite frankly, Jerome Powell will do everything you can to bring down the value of the US dollar, and as a result that should continue to offer bullish pressure for gold. Ultimately, I think that we are going to break out of the rectangle that I have marked on the chart, which would open up the door towards the $1800 level. If you can break above the $1800 level, then the market is likely to go looking towards the $2000 level. Ultimately, I think that gold is a longer-term “buy-and-hold” scenario, and therefore you need to be very patient with.

Gold Price Predictions Video 11.06.20

To the downside, I believe that the $1675 level offers support, and I think that it is likely that the buyers will return every time we get close to that area. Having said that, if we were to break down below the $1675 level then it is highly likely that we find plenty of support closer to the $1600 level because of the 200 day EMA sitting in the same general vicinity. I believe that gold is in the beginning of a multi-year uptrend, so we should be buyers and sellers. In fact, I do not even have a scenario where start selling gold anytime soon, due to the fact that the central banks are acting the way they are, and quite frankly there are a whole world of issues out there that could continue to push the market higher as well.

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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