Throughout 2014 Gold has been one of the worst performing investments you could hold. After reaching a high near $1400 in the first quarter of the year, it has done nothing but fall lower and currently resides below $1200. Many of the naysayers who consistently preached that the Federal Reserve’s Quantitative Easing program would trigger uncontrollable inflation that would then make the yellow metal the darling of the investment world were left licking their wounds as essentially the opposite happened – inflation remained frustratingly low which helped usher Gold even lower. As we prepare for what 2015 will bring, one has to wonder if we will see more of the same Gold-bug punishment or a little relief after a tough year.
The initial volley for either side may come very soon in the year as Gold has painted itself in to a triangular corner over the last couple months. Since the low hit in early November, Gold has gradually advanced in fits and starts, but lost its momentum in mid-December. The confluence of the advancing trend line and the declining one is getting ever closer and a break out of this triangle either to the topside or lower could set the tone for the entirety of 2015.
Source: www.forex.com
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