Gold Price Forecast – Gold markets rally to kick off the week

Gold markets broke above the vital $1205 level, which has been short term consolidation. However, the market didn’t go straight up after the initial breakout. We have been consolidating for some time between five dollar intervals, so it’s not a huge surprise to think that perhaps we may struggle. I see potential resistance at the $1210 level, and most certainly the $1215 level which has been the scene of significant selling. I would also point out that there is a huge bearish candle stick that started at the $1210 level, so there’s probably a lot of supply sitting in that area.

Pay attention to the EUR/USD pair and of course the DXY, as they both will give you an idea as to what the US dollar is going to do, and it should under most circumstances give you an idea as to what gold might do. Gold markets are very sensitive to the US dollar obviously, so that is one way to play it. I think that the Euro got ahead of itself, meaning that the US dollar was probably sold off unnecessarily. That being the case, I anticipate that gold will probably roll over a bit, perhaps looking towards the $1205 level for support. If we break down below there, then I think we returned to the $1200 level. Overall, I think that volatility is the one thing you can probably count on as per usual. With all of the headlines going around the world, the US dollar is going to be very volatile.

Gold Price Forecast Video 25.09.18