Gold Price Forecast – Gold Markets Continue To Struggle With 50 Day EMA

Gold markets initially tried to rally during the trading session on Monday but gave back a little bit of the gains as it was a relatively quiet market. Ultimately, this is a scenario that we continue the overall downtrend channel, and of course the 50 day EMA is just about where we are right now. If that is going to be the case, there is a lot of noise just above and I’m not comfortable buying gold until we break above the $1500 level. If we can break above there, then it’s likely that we go much higher, as the overall trend would probably be continuing from several months ago.

Gold Price Forecast Video 17.12.19

What’s a bit confusing at the moment is that even though we get the “Phase 1 deal”, there hasn’t exactly been a massive “risk on” type of rally. There was a little bit of a rally on Thursday as the first hints of this came out, but the response was very underwhelming once we got the some of the details. Beyond that, we don’t even have the complete details yet, so at this point it’s very likely that the market is simply in a bit of a waiting pattern. To the downside, I do see a significant amount of support at the $1450 level, which was the resistance level based upon the ascending triangle previously. “Market memory” dictates that we should start to see buyers in that area, but if we do not, that would be a very negative sign for the gold market and we would probably go much further to the downside.

Please let us know what you think in the comments below