Gold Price Forecast – Gold Markets Continue to Consolidate

Christopher Lewis
Published: Jun 9, 2023, 16:17 GMT+00:00

Gold markets have gone back and forth during the trading session on Friday, as we continue to dance around the 50-Day EMA.

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Gold Price Predictions Video for 12.06.23

Gold Market Technical Analysis

Gold markets have gone back and forth during the trading session on Friday, as we continue to dance around the 50-Day EMA. Alternatively, this is a market that I think continues to see a lot of noisy behavior, and this makes quite a bit of sense as there are a lot of concerns as to where we are going forward. The $2000 level above obviously offers a significant psychological barrier, but if we were to break above there, then it could open up the possibility of a move to the $2050 level.

On the other hand, the market sees quite a bit of support underneath near the $1950 level, which is a large, round, psychologically significant figure as well, but at this point in time we have seen so much in the way of support over the last couple weeks at that level that it makes quite a bit of sense that we could see buyers jumping into the market at that area, continuing to offer more of a range bound situation. If we were to break down below there, then we could go looking to the 200-Day EMA, which sits just below the psychologically important $1900 level. That being said, I don’t think it’s as likely at this point, and I do think that it is probably only a matter of time before we see buyers push this market toward the upside.

Whether or not we can get any type of sustainable rally remains to be seen, because when you look at the longer-term charts, it’s obvious that the $2100 level is a major area of resistance. In that environment, I think it’s going to take something rather special to send gold above there. Right now, it appears that we are trying to figure out where we go next, but right now you still have to figure that the upside is probably more likely than the downside. However, if we do break down below the 200-Day EMA, that could send a major downtrend into this market, we could go much lower. In general, I think short-term traders are probably going to continue to favor range bound trading systems.

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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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