There Is Still Room For Further Erosion In Gold Price - Technical Analyst

It’s all about the Fed next week, with the Federal Open Market Committee meeting concluding on December 16 and markets anticipating the first interest rate hike in nine years. What could happen to gold? According to longtime technical analyst Gary Wagner, the metal could see more downside pressure next week. ‘If we get liftoff as anticipated we could see further erosion in gold,’ he told Kitco News Friday afternoon. ‘I would really want to watch the key levels at $1,061, and $1,050,’ he added, stating that these have been the recent lows in gold. February comex gold futures saw some volatility early Friday when the metal rallied up to a high of $1,078.60 an ounce, but has now settled a few cents off that level. According to Wagner, the main thing investors should focus on next week is how the Fed will hint at interest rate hikes in 2016. ‘I would be surprised if we get two rate hikes next year,’ he said. ‘I think [the Fed] will be fluid in terms of how they raise rates; I wouldn't think they’d go much higher real quick.’ Kitco News, December 11, 2015. (show less)

It’s all about the Fed next week, with the Federal Open Market Committee meeting concluding on December 16 and markets anticipating the first interest rate hike in nine years. What could happen to gold? According to longtime technical analyst Gary Wagner, the metal could see more downside pressure next week. ‘If we get liftoff as anticipated we could see further erosion in gold,’ he told Kitco News Friday afternoon. ‘I would really want to watch the key levels at ... (read more)

Chart This!

Chart This!
A former city guy, Gary Wagner abandoned the briefcase & tie and joins us weekly from his home in Hawaii. Whether you are a newbie or veteran trader, Gary provides an educational segment for all levels of investors. Gary will teach you the ‘ins’ and ‘outs’ of mapping gold charts from using Japanese Heikin-Ashi charts to Elliott Wave analysis. Gary Wagner simplifies charting for investors every Friday on Chart This!

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