Gold markets finally reached $1240 level. I see a bit of resistance above, but I do believe we will see bullish pressure and pullbacks will offer buying opportunities. I think gold market will reach $1260 level given enough time and even higher. I see the floor of this market at $1200. If we will break down this level, then things could change rapidly. But I don’t think this scenario will take place, as Fed decision interest rate last week suppurts upper trend.
Also supporting gold is Trump’s failure to deliver his promised tax cuts and regulatory reform. Finally, investors were looking ahead to the Group of 20 finance leaders’ meeting in Germany this weekend. Experts say the Trump administration may try to pursue protectionist policies which could increase demand for gold as a safe haven investment.
Wish you all profitable week!