Gold Price Forecast – Gold Markets Continue to Grind Higher

Gold markets have rallied a bit during the trading session on Tuesday as more optimism of a quick election result has crept into the markets. Whether or not that is true is totally irrelevant, because this comes down to the US dollar either rising or falling. The argument on Wall Street is that the Biden administration would be extraordinarily loose with stimulus, but then again so will Trump. The idea is eventually the US dollar gets crushed. However, there are other things out there moving markets.

Gold Price Predictions Video 04.11.20

Once we get past the election, I suspect that we may get a bit of a pullback in gold as the US dollar may get a little bit of a bid. This will be especially true if the elections do not get called rather quickly. Quite frankly, I do not see that happening but that is the scenario right now. At this point time, is very likely that the market will continue to back and fill, meaning that we will probably drop yet again. I think that the $1850 level will be massive support, followed by the $1800 level.

That being said, the 200 day EMA sits just below there, so it does make quite a bit of sense that we would see a lot of support in that area. Furthermore, the market had broken out from that area and I think a lot of value hunters would be interested in this market. With this, I am looking to pick up value, not necessarily short the market, so I think that the “buy on the dips” mentality is going to continue to approach this market.

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