GOLD PRICE APPROACHES IMPORTANT LEVEL OF FIBONACCI RETRACEMENT

08.12.2020
Technical Analysis
8th Dec. - The price of gold has recovered and is now above the level of $ 1800.00. This increase has continued since early December 2020 after falling sharply last November.

In theory the fibonacci retracement, the gold price is approaching the important level of fibonacci retracement 38.2 which is close to the level of $ 1900.00. Gold prices are rising again due to the geopolitical situation in the European zone as well as the possibility of an economic stimulus injection by the US government in the near future.

In terms of market sentiment, news on the use of the Covid-19 vaccine after this will definitely affect the value of gold. To date, several countries have agreed to purchase and widely use the Covid-19 vaccine.

We expect the price of gold to have the potential to fall back after any country successfully implements the Covid-19 vaccine and successfully controls the transmission of the Covid-19 pandemic.

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AHMAD FAIZUDDIN BIN RAZALI

CHIEF ANALYST OF CDG GLOBAL