Skip to content Skip to footer

Gold Continues to Look Positive Overall

The gold markets rallied in the early hours on Wednesday as we continue to see overall upward pressure. And when you look at the longer term chart, you have to assume that the recent consolidation will eventually lead to continuation. This would make quite a bit of sense, considering that the gold market had shot straight up in the air in the early part of the year, and there are a whole plethora of reasons to think that gold will continue to go higher.

The first one, of course, is the simple fact, that central banks around the world are paying close attention to the gold supplies and buying into it. If we can bring about the $2,425 level, then I think gold starts to take off towards the $2,500 level. I do think that the next couple of days could be big for gold as well, because the Consumer Price Index and the Producers Price Index figures will give us an idea as to what the Federal Reserve may be doing.

Experts trade the markets with IC Markets
Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spread
The market has been very noisy along the way, but there has been a certain amount of resiliency near the $2,300 that you cannot deny. It is because of this that if we get some type of knee jerk reaction to the downside, I am more than willing to step in and start buying gold, as I believe that not only the central bank buying will push it higher, but the inflation also coming down could because it could signify that perhaps the Fed is getting ready to cut. And then beyond that, you have to think about the geopolitical concerns out there and there are plenty of them. Gold should continue to be bullish longer term.

Source:  Christopher Lewis Fxempire