Gold Weekly Price Forecast – Gold Markets Continue Consolidation
Gold markets have rallied during the week, wiping out the losses from the previous one. This is a market that continues to go back and forth in general, and as a result short-term traders have made a fortune going back and forth. However, longer-term traders are looking at this as consolidation that could very well lead to continuation. After all, there are plenty of macro reasons to think that gold will go higher over the longer term. For example, the central banks around the world continue to devalue the paper currencies that they back, this will send gold market higher over the longer term.
Gold Price Predictions Video 15.06.20
This does not even take into account the fact that there is a lot of geopolitical and macro risk out there right now. After all, we have just recently shut down the global economy, and of course there is also concerns about a second wave of coronavirus infections. That of course will do massive amounts of damage to the economic outlook around the world, so if we do in fact see that happen, it is highly likely that people will be looking for more safety and therefore gold.
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The $1800 level above is crucial, and if we can break above there, then the market is likely to go looking towards the $2000 level which of course will cause a lot of headlines. Regardless, I have no interest in shorting this market and I do think that the 50 week EMA reaching towards the $1600 level is rather interesting, considering that the 200 day EMA is right in the same neighborhood, and therefore both shorter and longer-term traders will be looking at the $1600 level as massive support. I am a buyer of dips, and a buyer breakouts.
For a look at all of today’s economic events, check out our economic calendar.