Gold Price Forecast – Gold Markets Rollover Slightly On TuesdayGold markets rolled over a bit during the trading session on Tuesday, showing signs of struggles. At this point, the market is likely to head towards the $1550 level underneath.
Gold markets fell a bit during the trading session on Tuesday, as the market is falling for the first time in five sessions. That being said though, there is plenty of support underneath in this looks to be a bit of a pullback. The $1550 level has offered support in the past, and the 50 day EMA is approaching that level as well. That being the case, it’s very likely that the market will find buyers in that general vicinity. Let’s not forget, it’s only a matter of time before some type of negative headline crosses the wires to get people spooked again.
Gold Outlook Video 12.02.20
Coronavirus, slowing global demand, and a whole host of potential trade issues could send gold higher. However, the strengthening US dollar could continue to work against gold longer term as well, at least slowing the assent. If the market was to turn around a break above the $1600 level, then it’s very likely that the market goes much higher, perhaps reaching towards the $1800 level which is a longer-term target of mind. The absolute “floor” in this pair should be found at the $1500 level, which at this point should start to attract the 200 day EMA as it is rising as well. I like buying gold still, and at this point I think we are simply trying to grind away sideways to figure out whether or not there is enough momentum to go higher. Quantitative easing around the world continues to propel gold higher as well. After all, even though the central banks don’t call it as such, they are still extraordinarily loose with monetary policy.
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