Gold Markets Stumble at Resistance
Gold markets have initially tried to rally during the trading session on Friday but have given up gains as the 1830 level continues to be very difficult to break above. With this being the case, the market is very likely to continue seeing noisy behavior going forward, as the markets have seen so much in the way of volatility. The $1830 level continues to be almost impossible to break above, and therefore it is not a huge surprise to see how we have failed yet again.
Gold Price Predictions Video 17.01.22
The market continues to be very noisy, and range bound, and that is probably the most important thing to pay attention to. With that being said, the $1800 level underneath will probably be important, due to the fact that it has been attractive as a large, round, psychologically significant figure and of course the fact that we have the 50 and the 200 day EMA sitting right there in the same area. Because of this, I think it is very difficult to imagine a scenario where we break through there, but if we do then we go looking towards the $1780 level, an area that has been rather supportive in the past as well.
Keep in mind that there is a lot going on with the US dollar right now, so it does make a certain amount of sense that gold will be volatile. Furthermore, people out there are freaking out about everything with the Federal Reserve tightening, something that a lot of traders have never seen. Because of this, it is difficult to imagine how the markets will behave in the short term, but one has to assume that we remain range bound.
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