If the current easing continues, balance sheet expansion, QE, interest rate cuts (to hold the economy up during COVID-19 outbreak) then we should easily see above 1920..
However, if the market genuinely tanks and we enter a recession, gold will temporarily fall with equities too. But shouldn't expect much of a drop below 1525.
A NO DEAL BREXIT IS COMING
- 'they' don't want a deal, UK international
banking assets jump 10-20% on a devaluation.
- Thats a revaluation of £100bn-£200bn
onto UK banks books.
- Then all the short seller positions
Then banking deregulation
- We even avoid the EU tax cutdown law in Jan 2020
- Borish Johnson reiterates UK is leaving the EU on 31st...
We have 3 contenders of resistance. First the 100 MA, second the 50 MA, third the down trend line from 19th September last week. Short here down to the 2924 level where a lot of volume was accumulated, buyers will defend positions here.