Gold Price Forecast – Gold Markets Give Up Early Gains

Gold markets have initially tried to rally during the course of the trading session on Friday, as the jobs number came out and threw a lot of volatility into the marketplace. Furthermore, we were heading into the Independence Day holiday weekend, so it could have skewed the market behavior a bit as well. Nonetheless, the daily candlestick was a shooting star, and therefore it is likely that we will continue to see resistance above.

Gold Price Predictions Video 05.07.21

The 200 day EMA is sitting just above at the $1808 level, and very flat. This suggests to me that the market still is not ready to make a move, but if we did somehow break above there then I see a gap that has yet to be filled, perhaps opening up the gold market for a move towards the $1860 level. To the downside, we still have the $1750 level that should be important, which previously had been significant resistance. If we break down below that level, then it opens up the market to go much lower, perhaps down to the double bottom which is roughly near the $1675 level right now.

Breaking down below that level, the market could open up fresh selling to reach down towards $1500. At this point, I do not have a lot of faith in gold, and I think that it will continue to struggle over the longer term. Ultimately, this is a market that I think given enough time will probably continue to be very noisy but obviously we need to make longer-term decisions in this general vicinity right now.

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