Gold Markets Bounce From the 200 Day EMA

Gold Market Technical Analysis

Gold markets have fallen a bit during the trading session on Friday to reach the 200 Day EMA, an indicator that a lot of people will be paying attention to. By turning things back around, it looks like we are going to continue to consolidate between the 200 Day EMA and the 50 Day EMA. The $1900 level quite often will cause quite a bit of psychological importance, so therefore it could be nothing but noise. When markets trade between these two indicators, quite often they will build up quite a bit of inertia to make the next bigger move.

Gold markets have been getting hammered based on the US dollar, as it does have a little bit of an inverse correlation, but at the end of the day, we also have to pay close attention to the 10 year yield coming out of the United States, as the higher yields certainly work against the gold market in general. On the other hand, if we turn around a break above the 50 Day EMA, then it is likely that we could go to reach the $1970 level. On the other hand, if we turn around a breakdown below the hammer that we formed earlier this week, we could blow through the $1850 level, and then reach the $1800 level.

Either way, this is a situation where we are more likely than not going to see a bigger move given enough time, but a large and impulsive candlestick is probably what we need to see to get any type of clarity in the gold contract.

Gold Price Predictions Video 09.05.22

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