Gold 
“Gold prices rose during October, breaking several record highs along the way. Prices settled above $2,800 for the first time on 30 October. Gold prices did soften over the ensuing days but remained at historically elevated levels. Gold prices declined sharply on 6 November, post the
U.S. election. This was not too surprising, with some of the risk premium related to the election coming off following the smooth conclusion of the event. Additionally, the sharp gains in equity, bitcoin, and dollar values coupled with a jump in yields further weighed on gold prices, which closed around $73 lower than the previous day.
There could be some further softness in gold prices, especially given how sharply gold has risen in recent months. On the downside, gold prices have healthy support around $2,600 and strong support around the $2,550 level. Even if prices were to soften in coming weeks, the upward trend in gold prices is not expected to reverse anytime soon. There are still several political and
economic reasons, as outlined in the front of this report, why gold will be desired by investors as a portfolio diversifier. On the upside, gold prices could find some initial resistance around the $2,750 level, but they are expected to break out of those level and move higher in
the coming quarters.”
*This information is solely an excerpt of a third-party publication and is incomplete. Please subscribe to the referenced publication for the full article. This is not an offer to buy or sell precious metals. Investors should obtain advice based on their own individual circumstances and understand the risk before making any investment decision.
