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Gold Price Forecast – Gold Continues to Look Supported

By:
Christopher Lewis
Published: Jun 11, 2024, 13:05 GMT+00:00

The gold markets continue to see a lot of support overall, as we head into the FOMC meeting, and maybe more importantly, the press conference late on Wednesday.

In this article:

Gold Markets Technical Analysis

Gold markets initially pulled back just a bit during the early hours on Tuesday, but it looks like we are showing signs of support at the $2,300 level, and that of course is an area a lot of people will be paying attention to as it has been well supported. We are banging up against the 50 day EMA and I think if we can capture the 50 day EMA, we have a real shot at rallying and trying to do something with this massive sell-off candle from last Friday. Keep in mind that the market is currently worried about the FOMC on Wednesday as well, so I don’t know if it will happen between now and the press conference, as hesitation can be a feature of indecision.

If we were to break down below the $2,280 level, it could open up a deeper correction, perhaps down to the $2,200 level, maybe even the $2,150 level, where the 200-day EMA currently resides. Even in that scenario, gold would still technically be at an uptrend. That being said, it does look like the buyers are trying to save gold here, so do keep that in mind, and I think longer term there are plenty of reasons for gold to go higher not the least of which would be central bank cutting of interest rates but also let’s not forget that there are a lot of geopolitical concerns out there. These reasons make me very hesitant to short the market anytime soon.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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