Gold Price Forecast – Gold Markets Continue to Attempt to Stabilize

Gold Price Predictions Video for 09.10.23

Gold Market Technical Analysis

Gold markets have initially fallen a bit during the trading session on Friday, but then turned around to show signs of life again as we continue to see a lot of volatility. This is somewhat impressive considering that the Non-Farm Payroll announcement came out stronger than anticipated, and in fact showed that the Americans added triple the amount of jobs that people had anticipated. Because of this, think it’s probably only a matter of time before gold struggles, but we have sold on so much of the short-term relief rally could very well happen between now and then.

It looks like the 50-Day EMA is getting ready to break down below the 200-Day EMA, kicking off the so-called “death cross.” This of course is a longer-term sell signal, so it’ll be interesting to see how the markets take this. That is also just above the crucial $1900 level, which is a large, round, psychologically significant figure, and of course something that people pay close attention to. It’s also an area where we had a lot of support in the past, so it does make a certain amount of sense that we would see a lot of resistance in that area. Because of this, I will be employing a “fade the rally” type of strategy, looking for signs of exhaustion after a rally. Whether or not that actually comes in the short term remains to be seen, but it’s what I’m hoping to see.

On the other hand, if we break down below the lows of the last couple of days, we could see this market go looking toward the $1800 level underneath, which of course is a large, round, psychologically significant figure in and of itself. In that environment, breaking down below that level kicks off a lot of selling pressure, and gold could really start to fall apart. That’s not necessarily what I expect to see in the short-term, but it is something that you have to be cognizant of as a move like that could catch you off guard and cause a lot of problems to say the least.

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