Gold Price Forecast – Gold Markets Rally Again

Christopher Lewis
Published: Aug 9, 2022, 14:54 UTC

The gold market rallied a bit during the trading session on Tuesday to show signs of bullish pressure. Now we are pressuring significant resistance.

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Gold Market Technical Analysis

Gold markets have initially pulled back just a bit to test the $1800 level, only to turn around and show signs of life. That being said, the market is likely to look at the $1815 level as important in the futures market, and if we can break above there then we have to deal with the 200 Day EMA. Once we get through all that, the market would then enter a nice bullish run.

Keep in mind that the CPI figures come out on Wednesday, which will have a lot to do with what happens in the Federal Reserve monetary policy setup. If they continue to be very hawkish, then it’s likely that gold will pay the price. On the other hand, if CPI comes in much lower than anticipated, we could see a reaction to the upside.

We are most certainly in an area that has been important multiple times, so sooner or later we should get some type of resolution. An impulsive candlestick should give you an idea as to where we’re going next. If we break down below the 50 Day EMA, then gold is likely to go down to the $1750 level. The $1750 level is an area where we have a little bit of a gap as well, so keep that in mind, as it could be a nice target.

When you see this chart, it’s obvious that we have a lot of volatility, and it’s likely that we will continue to see more of the same. Ultimately, this is a market that I think will take off sooner or later, as we have been compressing for the last four or five trading sessions as we wait for the CPI resolution.

Gold Price Predictions Video for 10.08.22

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About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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