Gold markets struggle at resistance again during the week

Gold markets initially tried to break above the $1350 level during the week but rolled over to form a bit of a shooting star. However, I see there is more than enough support underneath that could continue to come into the market and singled higher.
Christopher Lewis
Gold weekly chart, April 23, 2018
White gold bars bank deposit

Gold markets initially tried to break above the $1350 level during the week but turned around to form a bit of a shooting star. I think that the market is in a massive uptrend channel, or perhaps even an ascending triangle. Either way, the market should continue to go higher, and if we can break above the top of the range for the week, I feel that the market will probably continue to push towards the $1375 level. Once we break above there the market will then go looking towards $1400.

The $1400 level above is a significant barrier on the longer-term charts. If we can break above there, the market could go to the $1800 level. Ultimately, I think that the move would be rather quick, as there is a lot of empty space between now and then. I think that pullbacks will continue to be supported at the $1300 level as well, and I do believe that eventually gold will find a way to break out. Geopolitical concerns, following US dollar, a potential trade war even, all these reasons could send this market to the upside.

Buying the dips continues to work from what I see and has since the end of 2016. That’s not to say it’s been an easy move, but it certainly has been steady and positive over the longer term as the markets continue to go from the lower left-hand corner to the upper right-hand corner. Given enough time, I fully anticipate seeing a significant move higher.

Gold Prices Video 23.04.18

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.