Gold Price Forecast – Gold Continues Same Sideways Momentum

Gold markets have tried to rally during the early part of the session on Monday but gave back the gains once we got close to the 50 day EMA. At this point time, the market is hanging about the $1800 level, so the fact that we are failing here could suggest that perhaps the underneath support at the $1790 level will continue to be very crucial. Breaking down below that level would of course be very negative and could open up a drop down to the $1750 level. The $1750 level is where we bounce from previously, and although it was a significant bounce, this is starting to look like a market that is starting to run out of momentum.

Gold Price Predictions Video 27.07.21

If we were to break down below the $1750 level, then it is likely that the market could go looking towards the $1680 level, where we had previously formed a bit of a double bottom. Keep in mind that the US dollar tends to have a bit of a negative correlation, and therefore you need to pay close attention to the US Dollar Index.

On the other hand, we could turn around and try to break above the most recent highs near the $1830 level, and if we do then it is likely that will go looking towards the $1860 level which is the top of the previous gap. Breaking above there then opens up the possibility of a move to much higher levels, perhaps the $1910 level, and then beyond that but obviously it would be a bigger move overall against the greenback.

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