Gold Price Forecast – Gold markets continue to see buying pressure underneathThe gold markets initially fell during Tuesday trading only to find buyers at lower levels, to end up forming a bullish candlestick. This is a good sign, so it is likely that we are going to see this market try to reach the highs again.
The markets have been very bullish at this point, and the action on Tuesday shows signs of even more coming. The buyers continue to be aggressive, so this is a situation that continues to look at the Federal Reserve for direction, as well as other central banks – with cuts coming from all directions. This would be the normal action for the markets, lower rates driving up the value of the market. The $1450 level above is a target, as it is the most recent high that we have seen.
Gold Technical Analysis Video 24.07.19
The $1400 level underneath is a major support level, and I would be a bit surprised to see this market break below that. Even if we did, the support extends down to the $1390 level. The area is rather important, but not the be-all-end-all of the uptrend. The real target is going to be $1500 above, and that is of course a major figure to pay attention to. The level being broken to the upside would send a fresh flood of money back into the markets, and then drive towards the $2000 level, which is my longer-term thesis.
The markets have been rather one-sided, and that’s a good thing. A trending market is the best thing to be involved in, and for the most part its all about simply waiting for value to appear in the form of lower prices, as the market becomes “cheap” for the time being. The market is one that is simply bought on dips.
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