Gold Price Forecast – Gold Markets Continue to Dance Back and Forth Under Resistance

Gold markets have gone back and forth during the course of the trading session on Thursday again, as we have seen for three days in a row now. Ultimately, the market is likely to continue to see a lot of questions asked about the US dollar and of course gold, so make sure that you are paying close attention to the US Dollar Index. If we were to break down from here, then I think we could go looking towards the $1750 level. That is an area that had been support previously, it is also a potential target for short-term selling.

Gold Price Predictions Video 20.08.21

On the other hand, if we do rally from here the 50 day EMA above will cause a certain amount of resistance, just as the 200 day EMA well. If we were to break above the 200 day EMA, then we might be able to make an argument for a potential move towards the $1830 level, which has been resistance multiple times. Breaking above that level would open up the possibility of an even bigger move towards the $1910 level. Granted, that would need to see a shrinking US dollar, something that has not been on the table recently.

To the downside, if we were to break down below that $1750 level, it would more than likely be a move to the $1680 level just waiting to happen. That is an area that has been massive support previously, so I think it will continue to be important going forward. Breaking down below that level then opens up the possibility of the gold market dropping to the $1500 level, moving right along with a strengthening US dollar.

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