Gold Price Forecast – Gold Markets Show Signs of Weakness Again

Gold markets initially tried to rally during the course of the trading session on Thursday but gave back the gains as yields in the United States started to pick up again. This is possibly due to the noncommittal nature of the ECB press conference when it comes to purchasing more bonds. Nonetheless, we have seen the US dollar rallied again, and that of course is toxic for gold. When you look at this chart, this is directly inverse to the “real rates” coming out of America.

Gold Price Predictions Video 12.03.21

We have recently seen a nice bounce, but if we continue to see this market drop from here then I think it is only a matter of time before we break down below the lows of both Monday and Tuesday, which opens up further selling. At that point, I think the market is very likely to go looking towards the $1500 level which of course will attract a lot of headlines, and perhaps cause a significant amount of support. Nonetheless, I do think that longer-term gold has a bullish run ahead of it, but we are not there yet. And in fact, we may be a couple of months before we see that happen based upon what we are starting to see again.

As far as buying gold is concerned, if we can take out the $1750 level on a daily close, then I would become bullish again. Until then, I think there is still a lot of noise ahead of us to keep this market noisy, but it is obvious that the bond market in the United States is leading what happens here, so you have to keep an eye on yields in the 10 year to determine which direction gold goes.

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