Gold Price Forecast – Gold Markets Explode To Upside

Gold markets break higher during the Friday session after it was announced that the Americans it killed a top Iranian general. By the making above the top of the candlestick from the previous session we had left the last vestiges of resistance behind, and it now looks like the market is going to go testing the $1550 level. I think there is a good chance that we go towards the highs again, but we may need to pullback in order to build up enough momentum to go much higher.

Gold Prices Video 06.01.20

At this point, the market looks like it’s focusing on the fact that there is so much geopolitical instability, and that of course will continue to have a major influence on what happens in the gold markets. All things being equal though we have been in an uptrend anyway, so this was probably just the excuse that people needed in order to start buying again. I do think that a pullback is probably healthy, but I would anticipate that somewhere near the $1525 level there should be a rush back into the marketplace. I have no interest in shorting gold, but I do recognize that the pullback could be rather brutal.

That being said, market participants will probably continue to show a proclivity for buying gold as we have broken out of at major downtrend channel. With that, I look for buying opportunities based upon value more than anything else. All things being equal, it’s very likely that we will not only reach the previous highs but break through them.