Gold - XAUUSD to Move Higher in the Medium to Long-termFundamentals are coming out strong for bull momentum with lack of positive trade negotiations and added fuel to the fire with the bill set by President Trump for Hong Kong Protestors and further restrictions on Huawei citing national security concerns. Additional tariffs to be struck on December 15th with China saying that and past tariffs must be removed to complete a phase 1 deal. All this surrounded by new concerns of yet another trade war between the US and EU on the rise as tariff dispute has flared up again over subsidies for aircraft makers Boeing and Airbus.
Technical level currently is the $1450 support we fell to on the week of November 4th and have been supported for the past 3 weeks. Further support added from the 21-week EMA.
Current yearly gains are sitting at 13.9% but far from past years with strong performance;
1979 = 136.2%
2007 = 31.2%
2010 = 29.5%
2019 = 13.9%
December could be the month that will send price up to complete yet another record setting performance in the gold market.
We have seen already 1 correction/consolidation that formed a nice flag pattern along this bull market that started in September 2018 at the resistance of a longer-term wedge pattern, once price broke that level price was free to climb without any clear resistance level. We are finally seeing yet another flag pattern forming a 2nd correction/consolidation. This could very well be the level that price has completed its correction and continues higher.
