Christopher Lewis
Add to Bookmarks

Gold markets have gone back and forth during the trading session after initially opening up higher on Wednesday, as we await the FOMC statement and announcement. The $1900 level underneath offered significant support during the previous session, and now could be thought of as a short-term floor in the market. I do not know that it holds though, but I am pretty confident about $1800 holding. I realize these are wide ranges but quite frankly the gold market has been out of control as of late. Because of this, I think it is only a matter of time before the markets try to find some type of reason to go higher but a pullback would make them much more affordable.

Gold Price Predictions Video 30.07.20

The 50 day EMA is currently sitting at the $1800 level, an area that had been previous resistance. At this point I think that there would be plenty of buyers in this vicinity, as there would be a lot of people who missed out on the original trade that would be more than willing to get involved. Because of this, I think that there is a great trade waiting to happen, but we need some type of reason for gold to pull back.

Know where Gold is headed? Take advantage now with 

Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

Just above, we have the $2000 level which of course is going to cause some issues, but ultimately, I think we will break through there and go much higher. The US dollar is on its back foot for a reason, and that should continue to be the case. There might perhaps be a little bit of jitters around the FOMC announcement, but after that we should get buyers again.

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

Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker