Gold Price Forecast – Gold Markets Testing Support Again

Gold markets continue to drift lower overall, as we have tested the $1850 level. This is an area that is important for the last couple of months, as it has offered significant support. That being said, I believe it is only a matter of time before we see buyers jump back in, especially if we get close to the $1800 level, an area that I think is going to continue to be crucial based upon previous action and of course the 200 day EMA sitting right there. That of course is a longer-term trend defining indicator that a lot of people will pay attention to so I think there would be a lot of buyers in that area.

Gold Price Predictions Video 20.11.20

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If we managed to break down below the $800 level it could change some things but right now, I think that is going to be very unlikely. After all, central banks around the world continue to flood the markets with liquidity so given enough time it is likely that hard assets such as gold will continue to go higher. This is not necessarily an inflation hedge rather than just a way to get away from certain fiat currencies. (Semantics, I know but at the end of the day this is the same argument I make for Bitcoin right now.)

That being said, I like buying dips and I think if you are patient enough you can find gold at an even cheaper price, perhaps saving you about $50 an ounce. As far as selling is concerned, I have no interest in doing so anytime soon.

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

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