Gold markets continue to be noisy during Friday trading

Gold markets continue to be very noisy in general, pulling back slightly during the Friday session, but then bounced enough to reach towards the $1327 level. The market looks likely to continue to see a lot of choppiness over the next several sessions, but I think that it’s only a matter of time before the buyers push towards the $1350 level. That’s an area that should be resistive, so I don’t think we break out of there quite easily.

On the other side of the equation, we could break down and reach towards the $1310 level. That is an area that I think extends down to the $1300 level for support. The market should continue to be resilient in that area, so I think that it makes sense to buy the dips going forward. I don’t have any interest in shorting, I believe that eventually gold takes off, especially if the US dollar gets beaten up. Pay attention to the EUR/USD pair, because if it rallies, that will be a sign that the US dollars going to weaken overall, and that sends the markets to much higher levels.

Gold markets breaking above the $1360 level would be a very strong sign, perhaps sending the market to the $1400 level next. Once we get above that level, the market should continue to go even higher, perhaps reaching towards the $1800 level, and then eventually the $2000 level. There’s a lot of support underneath, so I like buying these value propositions.

Gold Prices Video 02.04.18