Gold Prices Continue to Push Higher

The gold prices have surprisingly been showing a lot of strength over the last few days. We have been expecting the prices to face a lot of resistance in the 1265 region and then the prices to fall as the bears take control but that does not seem to be happening at this point of time. We are still seeing the bulls holding up the prices with all their might and the prices inching higher. The fact that the liquidity has become lesser and lesser over the last few days as more and more traders go on their holidays, could be a reason for this but we cannot be too sure about the same. The lack of liquidity might be helping the bulls in a way and they might view this as an opportunity to push the prices higher and get out at higher prices before the bears return with full force in the beginning of the next year.

Prices Push Against Range Top

It remains to be seen how all this would pan out during the course of the day and also over the next week when the liquidity is likely to become even lesser. The gold prices may be in a short term uptrend but we continue to believe that the bears will establish back their control over the medium term. The fall in the bitcoin market is also likely to help the gold market as investors would realise the importance of having stable and long term returns, which the gold market is likely to provide in the long term but even in such a case, the impact of that is likely to be minimal as the gold market faces the brunt of lack of demand and the interest rate cycle change.

The oil prices continue to trade near the highs of its range and it has been one of the most stable and relentless markets over the last few months as the prices continue to rise with no sign of any kind of reversal in recent time. The target seems to be the $60 region and we do not expect any kind of major reversal till that is achieved.

The silver prices have also been consolidating near the top of its recent range and it is likely to follow the gold market and move higher in the short term by making use of the short term lack of liquidity.