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Jim Wyckoff

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Why gold is seeing some selling pressure

February 28, 2020 by Jim Wyckoff

There is an old saying in trading markets that when times get really dire and anxiety is high, you don’t sell what you want, you sell what you can. Such is likely part of the reason safe-haven gold has seen some downside price pressure this week amid the meltdown in global stock markets. Also, remember that gold’s price is driven by consumer demand. China is a leading gold consumer, and the coronavirus outbreak’s negative impact on the Chinese economy is most certainly going to crimp Chinese citizens’ purchases of gold. Still, the gold bulls remain in firm near-term technical control amid a price uptrend in place on the daily bar chart and prices are not that far below the recent seven-year high.–Jim

Filed Under: Blog News, Jim's Morning Report, Uncategorized

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