As inflation begin to pick up on a growing economy with an 18-year low in unemployment and steadily rising wages, investors may want to think about ways to protect their investments against lower real returns. Consequently, one should consider allocations to assets expected to perform well when inflationary pressures rise.

Some gold market observers believe the yellow can firm up and trend higher next year as the dollar retreats. At least one gold bull believes bullion could return to $1,400 for the first time since 2013. Still, GLD and rival funds need to fight through some resistance to renew traders’ confidence.

“In the near term, though, GLD has several layers of potential resistance to contend with. For starters, the start of the fund’s recent sell-off coincided with a stiff rejection by its 40-day moving average,” notes Schaeffer’s.

For more information on the gold market, visit our gold category.

Tom Lydon’s clients own shares of GLD.