XAUUSD Gold Forecast And Technical Analysis Dec 8th
What’s Pushing Gold Prices Down?
Expectations of an aggressive Federal Reserve are dragging gold prices down, with rising geopolitical tensions or even falling stocks unable to help.The December rate hike by the Fed has been priced into the markets for a while now, with CME 30-day Fed Fund futures currently showing an almost 100% chance of a rate hike. For the year to come, markets are only pricing in a 50% chance of two rate hikes by November 2018.
Relentless Bitcoin price is keeping GOLD prices down as well. Traditionally the metals and bonds were places that they would go to for safety. Now the cryptocurrency has become a competitor for the dollars that used to go into the metals. We do not know what will be the end of this Bitcoin story. We will see soon.
On the weekly chart: The price has moved below EMA 100 and 200, RSI is bearish. This picture is telling us that XAUUSD will be under selling pressure for a while. It is testing the EMA 100 support of the monthly chart.
On the daily chart, Fibo 61.80% ( 1261 ) has been broken downwards and the next Fibo level is 1236 ( Fibo 78.60 )