Gold Price Forecast – Gold Markets Break Towards Support Level

Gold markets have broken down significantly during the course of the trading session on Tuesday as the US dollar has strengthened quite a bit. That being said, I am paying close attention to the $1750 level, as it is a significant support level and an area that had previously been resistance. If we can break down below that level, then it is likely that the market will go looking towards the double bottom underneath at the $1680 region. If we break down below there, then it is likely that gold will fall apart. At that point, we could be looking at a move down to the $1500 level.

Gold Price Predictions Video 30.06.21

There is the possibility that we could see a turnaround, but we need to break above the 200 day EMA to be impressive, and then at that point in time we would probably go looking towards the top of the gap which is closer to the $1875 region. Filling that Is something that people typically expect in the futures market, and it is probably only a matter of time before that happens. Nonetheless, in the short term it certainly looks as if we could see more selling pressure and if the US dollar continues to strengthen the way it has over the last several days and weeks, that could be toxic for gold going forward.

Furthermore, if people continue to plow into the bond market, that shows that they are much more interested in paper than physical metal. There is a huge debate about inflation right now, and gold of course is right in the middle of all of that questioning and debate.

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