Gold Price Forecast – Gold Markets Pull Back
Gold Market Technical Analysis
Gold markets have pulled back during trading on Friday as the $1800 level continues to offer resistance. The jobs number in America was sufficiently strong enough to have interest rates rallying quite drastically, and therefore it has put a lot of downward pressure on the gold market. At this point, the weekly candlestick is going to end up forming a shooting star so it’s possible that we could get a bit of a pullback but I don’t necessarily think that it means we are about to melt down.
The $1750 level makes sense for support, so that might be a nice little giveback in order to build up the necessary momentum to go higher. However, if we were to turn around a break above the $1815 level, then we start to think about threatening the 200 Day EMA, an indicator that a lot of people pay close attention to.
Interest rates rising will continue to put a lot of downward pressure on gold, just as the US dollar strengthening will. They all run hand in hand, so pay close attention to the 10 year yield, because if it starts to rise, that’s going to be bad for this market and of course vice versa. Looking at this chart, it’s easy to see that we had been in a major downtrend and if they had a nice rally. We are right where you would expect to see the sellers come back into this market and try to reassert control. So far, it looks like they have had a little bit of success. If we break down below the $1780 level, I think that will unleash more selling in the short term.
Gold Price Predictions Video for 08.08.22
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