Gold markets initially tried to rebound during Wednesday’s trading session but struggled with the 50-day EMA as we wait for the Federal Reserve meeting and of course whether or not there will be further stimulus. From today’s perspective, it looks like the momentum could come back into play, but it’s worth noting that gold markets will have to wait and see if they get everything they need or not. The US dollar is somewhat oversold in the short term, but it is likely that we will continue to see negativity on the greenback. This is especially true if it follows not just an incentive, but possibly also the Brexit situation favoring the British pound.
Gold price forecast video 12/17/20
At this point, I believe the market will continue to go back and forth until we get some clarity. Once we do, the gold market will likely take off and move pretty quickly. Ultimately, I think we’re looking at a scenario where there should be a lot of buyers just waiting to get involved. So I think buying dips will likely still work at this point. If we can move past the 50-day EMA and get enough momentum, it is likely that the gold market is looking to the $ 1900 level. This is a tall, round, psychologically significant figure, so it makes perfect sense that there should be some resistance and always be there.