Will Gold see a bull or bear market in the near future? November 23 – November 27


Ongoing Events

The precious metals market this past week has continued to fall with a rise in risk averse traders and investors who want to make up for their recent losses. Traditional safe havens such as Gold and Silver are also experiencing these drastic drop in prices with a much improved and growing recent economic activity in the US despite the fall in the dollar. Prices for the yellow metal have not been this low since July, raising the question of a potential bear market approaching. Gold broke through its support of $1800 (USD/Oz), which was not only a major support but a massive psychological support for the precious metal. Gold analysts and other major names are predicting a fall down to $1750 (USD/Oz), although that may not be the case, at the end of the week Gold saw a slight consolidation closing $12 higher than what it opened at. Does the consolidation mean anything? We’d love to hear your thoughts!

November 23rd to November 27th Market Recap

History repeats itself, major investors are keeping a close eye on Gold and Silver and are buying more during these dips. This is a great way to be getting a discount on precious metals because we all know it is safe to say that in the long run, Gold and SIlver will only be going up.

The week began with Gold falling on Monday morning which was caused by news about COVID-19 vaccines from previous weeks. Other news that drove the price down were President-Elect Biden’s administration plans to be very market-friendly, which drove the Dow Jones index to surpass 30,000 points, with an inverse relationship to Gold spot prices closing at $1837.23 (USD/Oz) on Monday and dropping even more on Tuesday, closing at $1805.94 (USD/Oz).

Midweek the yellow metal held its ground with slow news regarding US economic data. Another reason for less activity midweek was a result of the American Thanksgiving, with markets being closed for the holiday. Gold spot prices remained above the $1800 (USD/Oz) support, fluctuating around $1806 – $1811 (USD/Oz).

The end of the week the market gave us a thanksgiving present along with a black friday sale of its own with prices falling below the $1800 (USD/Oz) support level. Spot price of Gold went as low as $1775 (USD/Oz). This drop occurred as the stock markets opened up again, but this time opening up to the news of Donald Trump accepting his electoral defeat and allowing the Biden administration to proceed preparations for presidency. Gold spot price closed at $1786.86