Gold Price Forecast – Gold markets pull back from major resistance

The Gold markets broke down a bit during the trading session on Monday, falling hard during the Asian and European sessions. They did stabilize a little bit during the US session, but at this point it certainly looks as if the precious metals markets are vulnerable.
Christopher Lewis
Gold daily chart, June 11, 2019

Gold markets fell during the trading session on Monday to kick off the week, gapping lower and simply continue to go much lower. The $1330 level is an area that will offer a significant amount of support, but if we break down below the bottom of the candle stick for the Monday session, I think at that point we are very likely to continue to go down to the $1320 level next. Below there, we could unwind some of the overbought condition that we have been in.

Gold Price Video 11.06.19

Gold markets have gotten a bit ahead of themselves for some time, so it’s very interesting to me that we are starting to fade a bit, so the question is whether or not it is a short-term pullback, or are we simply consolidating between the $1350 level on the top and the $1270 level on the bottom? It’s still early to tell, but the one thing that we do know at this point is that we are overbought. Because of this I suspect the next couple of days are going to be negative, but how negative it will remain to be seen.

Pay attention to the US dollar, because if it starts to soften that may lift Gold, or if we get some type of major financial panic, we may see Gold rally again as well. All things being equal, I am bearish for the short term and willing to reevaluate the entire situation somewhere closer to the $1320 level.

Please let us know what you think in the comments below

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All

Top Promotions

Top Brokers

IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US