However, it’s worth noting that the main reason for selling gold was that people were trying to raise liquidity to cover other massive selloff positions that they may have been trapped in. That being said, it’s also worth noting that the US dollar strengthening would obviously have a negative effect on a market that had shot straight up in the air. With that being said, I think this is a market that will continue to see a lot of noise, but I think over the longer term it makes a lot of sense that gold will go higher.
Patience is the keyPatience will be the key in this market, as we are in a strong uptrend, but ultimately, I don’t think that we have a situation where you are going to see it go parabolic immediately. I think you have a situation where it’s just going to be a steady and grinding type of move to the upside. With this being the case, the market will be paying close attention to the $2800 level, which is a large, round, psychologically significant figure and an area that we have seen a lot of traders out there getting excited that we made a fresh, new high. I think we will continue to do exactly that, but I also recognize that it is only a matter of time before we go looking at the $3000 level above. I have no interest in shorting gold, and I do think that it continues to be “buy on the dips.”More By This Author:BTC/USD Forecast: Surges After Sharp DropGBP/JPY Forecast: Rallies But Faces Key ResistanceAUD/USD Forecast: Rally Faces Resistance
