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Gold Price Forecast – Gold Markets Continue to Hover

By:
Christopher Lewis
Published: Dec 22, 2021, 16:13 UTC

Gold markets have gone back and forth during the course of the trading session on Wednesday, as it seems like we have nowhere to be. This should not be a huge surprise considering the time of year.

Gold Price Forecast – Gold Markets Continue to Hover

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Gold markets have done very little during the trading session on Wednesday, as we continue to hover just below the 50 day EMA. By doing so, it looks as if the market is trying to find some type of stability, but really at this point in time it is very unlikely that we will be able to take off to the upside. I think we are starting to wind down for the year, so gold might be a difficult market to trade.

Gold Price Predictions Video 23.12.21

To the downside, the $1760 level is significant support, and I think in that area you would see quite a few buyers coming back into the market. To the upside, the $1820 level seems to be significant resistance, and if we can break above there then it is likely that we could go much higher. At that point in time, the market is very likely to go into more of a “buy-and-hold” type of phase. That being said, there is not enough momentum in gold at the moment to make that happen.

The candlestick for the trading session on Wednesday is very similar to the one on Tuesday, and indicative of Brownian motion. In other words, I just do not think we have anywhere to be anytime soon and that is something that you need to pay close attention to. The overall attitude of this market is one of range bound trading, and I will continue to look at it through that prism. Having said that, we are sitting roughly in the middle of the range, so I do not necessarily want to try and guess which direction we go.

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

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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