The gold achieved the highest closing price in 85 months last week.
The price has climbed continuously throughout the week and regained all losses from the previous week.
It is worth to note that three major central banks announced a rate cut in the same week, with one of them been an emergency rate cut and it was none other than the Fed.
This is already a very major sign of a worsening economic downturn globally and risk sentiment will continue to increase with the spread of the coronavirus, jeopardising business activities on a global scale.
At the current rate, the gold is expected to climb much further than what was expected in late 2019.
It was first projected to peak at 1620 but was very soon surpassed, and the current projection can easily hit 1800.
In fact, the gold could break its historical high of 1920, should the current situation develops into the next financial crisis since 2008.
This week, we expect the gold to pull back at first as the dollar rebounds off from a low.
We will be watching the current demand zone around 1640 to buy the gold.
The price has climbed continuously throughout the week and regained all losses from the previous week.
It is worth to note that three major central banks announced a rate cut in the same week, with one of them been an emergency rate cut and it was none other than the Fed.
This is already a very major sign of a worsening economic downturn globally and risk sentiment will continue to increase with the spread of the coronavirus, jeopardising business activities on a global scale.
At the current rate, the gold is expected to climb much further than what was expected in late 2019.
It was first projected to peak at 1620 but was very soon surpassed, and the current projection can easily hit 1800.
In fact, the gold could break its historical high of 1920, should the current situation develops into the next financial crisis since 2008.
This week, we expect the gold to pull back at first as the dollar rebounds off from a low.
We will be watching the current demand zone around 1640 to buy the gold.
