Corona Virus
Stay Safe, FollowGuidance
Fetching Location Data…
Christopher Lewis

Gold markets rallied a bit during the trading session after initially dropping below the 50 day EMA on Wednesday, showing signs of life again. The $1700 level is a large, round, psychologically significant figure that will attract a certain amount of attention, just as the 50 day EMA would. At this point, the market is likely to continue to see demand for gold, for no other reason than to mitigate potential risks out there when it comes to portfolios. After all, we find ourselves in a very noisy economic scenario, as there are a lot of concerns as to whether or not economies will truly open up, or if it is a scenario where we are just going to get a short-term pop, only to turn right back around.

Gold Price Predictions Video 28.05.20

Beyond that, central banks around the world continue to print money as fast as they can, so that does drive up the “precious metals trade” as a way to protect against financial losses in that environment. The interest rates are still extremely low around the world, but if and when that gives way, this market could shoot straight up in the air. In the meantime, I believe that the 50 day EMA offers enough psychological support that we will probably go looking towards the $1750 level. I believe that there is a resistance barrier that extends to the $1760 level, and once we get above there it is likely that we go looking towards the $1800 level after that. I do think that happens given enough time, and that we then go looking towards the $2000 level.

For a look at all of today’s economic events, check out our economic calendar.

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.