Gold Price Forecast – Gold Markets Continue to Hover

Gold Market Technical Analysis

Gold markets have been noisy during the trading session on Tuesday as we continue to test the $1700 level. The $1700 level is an area that of course is a large, round, psychologically significant figure, but it’s also an area where we had seen a lot of support multiple times over the last couple of years. If the market were to break down through this area, and I believe this area extends down to the $1680 level, then it could open up major dumping of gold. At that point, the market is likely to drop down to the $1500 level. The market will more than likely see a huge increase in the US dollar or yields as a result as well.

The 50 Day EMA is rapidly approaching the $1800 level, which I believe will define the trend. As long as we stay below the $1800 level, you have to be concerned about the downside. Pay close attention to interest rates in the United States, because if they start to climb, that could cause a lot of problems for this market. Furthermore, the market is more likely than not going to see a lot of negative correlation to the US Dollar Index, which continues to scream to the upside. In other words, it’s more likely than not that we will see sellers come into this market at the first signs of exhaustion.

Ultimately, I think a lot will ride on the Federal Reserve and its meeting next week, but if we break down ahead of there, all hell can break loose to the downside. Longer term, I like gold but I think now is not the time to own it.

Gold Price Predictions Video for 20.07.22

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