Gold Price Forecast – Gold Markets Give Up Early Gains

Gold Price Predictions Video for 13.04.23

Gold Market Technical Analysis

Gold has initially shot higher during the trading session on Wednesday, but gave back quite a bit of the gains as we continue to see a lot of noisy behavior. Because of this, it does look like we are going to continue to struggle to go higher, especially as the $2050 level had previously been so important. With that being the case, I think we probably have a situation where if we were to break down below the $2000 level, the market would kick off a “rising wedge”, which measures for a move down to the $1950 level. It’s probably worth noting that there is a gap down at that area in the futures market, which we have not filled completely. Nonetheless, the market continues to see a lot of volatility, and I think it will more likely than not continue to show a lot of noise.

Even if we do pull back from here, gold is still very much in a bullish market, and I will continue to look at it as such. I think any type of pullback toward the $1950 level could offer an opportunity to get long again, because quite frankly the market has been so bullish for so long it makes a certain amount of sense that we would see noise, but quite a few buyers underneath that would be willing to pick up value as it occurs. After all, the market has seen a huge rush toward gold in order to continue wealth preservation in a very uncertain time.

Furthermore, we are seeing the US dollar fluctuate quite wildly during the day, so that also makes gold more attractive as it is thought of as stability, something that traders will be desperately looking for in this environment. I believe that this is still very much a “buy on the dips” situation, and therefore I think we’ve got a situation where value hunting will be the way going forward. I have no interest in shorting gold anytime soon, especially as this economic situation seems to be deteriorating more than anything else, so at this point gold is still a “long only” asset.

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