Gold Price Analysis: XAU/USD ends 2020 hovering near $1900, with a 22% gain
- Gold have the best year since 2010, rising $350 or 22%.
- XAU/USD continues to test the $1900 area, a critical short-term resistance.
Gold is about to end the year with a bullish bias, testing the $1900 barrier, supported by a US dollar decline. It gained 22% over the year and hit a record high at $2075 back in August. It then pulled back, hitting levels under $1800.
The rally of XAU/USD from the November low near $1760 faces a strong resistance at $1900. A break above could open the doors to more gain. The daily chart points to the upside in gold, but while below $1900, gains are seen as limited. A slide under $1875 would weaken the outlook.
In December, the metal rose more than 6% after falling during the previous four months on a correction from record-high levels. It resumed the upside and consolidated 2020 gains. It is the best year for gold since 2010.
Other metals also have a great year, with silver gaining more than 45%, Palladium by 20%, and Platinum by 11%.
Technical levels
Author
Matías Salord
FXStreet
Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.
