Gold Price Forecast – Gold markets run into major resistance

Gold markets of course react to a strengthening US dollar, something that we are starting to see during trading on Tuesday. The $1220 level looks to be resistive, and I think we are going to drift back towards the previous uptrend line. At this point, if we break down below the $1200 level, it’s very likely that the Gold markets will continue to go much lower. I do not like gold in levered form at this point in time. However, I would be willing to buy a levered position closer to the $1200 level if we get the appropriate bounce or supportive candle.

Price of Gold Video  21.11.18

Otherwise, the only way you can really on gold is in its physical form for a longer-term investment, which is something that I advocate as well. I do believe that we are going lower, and I think if we break the $1200 level, then it opens the door all the way down to at least $1100, if not $1050, and eventually $1000 after that. Watch the US dollar, it’s usual correlation albeit negative to the gold market should continue.

If we do break to the upside, I think that there is a massive amount of resistance near the $1250 level, an area that has proven itself more than once. Breaking above that would send this market into the consolidation that we had seen previously, meaning we could go as high as $1400. At this point though, it looks as if we are going to have to find support underneath first.