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• Gold may face bearish pressures, especially in the first half of 2019, as the real interest rates in the US are likely to rise.

Factors that could support gold in 2019

Real rates turn negative: Gold tends to perform well when the inflation rate is higher than the nominal interest rate. Inflation may rise well above interest rates if the US-China trade war escalates, restoring gold's appeal as a store of value.

US economy underperforms: The haven flows into the US seen in 2018 will likely reverse, pushing the yellow metal higher, if the world's largest economy underperforms the global economy.

Market volatility: Hedging demand for gold may rise if the equities, commodities and EM currencies remain volatile.

Reference: FXStreet