Analysis of Gold for November 02,.2020 - Potential for another downside cycle and test of $1.866

Goldman Sachs cuts European growth forecasts amid virus resurgence, lockdown measures No surprises here Euro area Q4 GDP -2.3% (+2.2% previously) UK Q4 GDP -2.4% (+3.6% previously)

I always make mention that when it comes to forecasts, especially during this time, take them with a pinch of salt. They mean little considering that there is no certainty on how the virus situation is going to progress and how governments will respond.

If anything else, just use these as a sentiment guide rather than a predictor of sorts.

Further Development

Analyzing the current trading chart of Gold, I found that the Gold is near the critical pivot resistance at the price of $1,895/$1,897 and that there is potential for the downside rotation.

1-Day relative strength performance Finviz

Based on the graph above I found that on the top of the list we got Lumber and Feeder Catt;e today and on the bottom VIX and Gasoline RBOB

Gold is positive on the list but with potential overbought condition...

Key Levels:

Resistance: $1,895

Support level: $1,866 and $1,849