Illustration photo of Gold Price H4 Chart from fx168.com
Gold hit a high of $1952.22 per ounce yesterday but with limited gains. The long and short side vied near the $1950 mark that shows the guarded mood of the market during the Georgia election.
Market sentiment may be tense but analysts pointed out that any major impact of the election results may be short-lived. Even if the Democratic Party wins, it will not change the overall tone of the market.
Demands of safe-havens have also supported the buying of gold ETFs.
Chief market strategist at FXTM, Hussein Sayed, mentioned that the decline in the dollar is the reason for the price rise in gold. The Georgia election is critical to the dollar as the Democratic Party controls the Senate and will be introducing more stimulus measures. It is believed that gold would be an investment in the case of extremely high stock market valuations.
Meanwhile, Edward Moya, Senior market analyst at OANDA, said that the burst of the Bitcoin bubble will drive up gold prices.
FOLLOWME XAU/USD Overall Sentiment (As of 10:14 a.m., Jan 6, 2021)
Short - 55.14%
Long - 44.86%
Source: 24k99.com
Edited 06 Jan 2021, 10:19
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