Gold Price Forecast – Gold Markets Bounce From Major Fibonacci Level

Gold Price Predictions Video for 20.02.23

Gold Market Technical Analysis

Gold markets have fallen a bit during the trading session on Friday, but then turned around to show signs of life as we are most certainly seen quite a bit of support. It’s also worth noting that we are at the 38.2% Fibonacci level, which attracts a lot of attention in and of itself. The hammer that we formed for the day does suggest that we have further to go but we also have the 50-Day EMA sitting above that could cause some issues. If we break above the 50-Day EMA, then it’s likely that we can look into the $1900 level.

Speaking of the $1900 level, I do believe that is a major area worth watching. After all, we have the multiple inverted hammer sitting at that level, and I think you need to look at it through the prism of whether or not we can break through all of that noise. I don’t know if we can, but if we do it would be rather impressive. Ultimately, in that scenario I think you would have a situation where market participants would flood into the market in the “FOMO trade”, trying to run gold back up to the highs.

On the other hand, if we break down below the bottom of the candlestick for the day, breaking through a hammer is normally a very negative sign, and I think at that point you would probably have a run down to the 50% Fibonacci level. That’s also basically where the 200-Day EMA sets, so it’s worth paying close attention to. With this, I think you’ve got a situation where buyers are going to be looking for support.

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