Gold Price Forecast – Gold Markets Reach Major Area of Interest
Gold Market Technical Analysis
Gold markets have rallied again during the trading session on Friday to reach the $1680 level before turning around. Ultimately, this is a market that I think we’ll see a lot of noise, so I think it’s probably only a matter of time before we see some type of selling pressure. That being said, the real move probably happens early in the week, as exhaustion comes into the picture. The area between here and the $1700 level continues to be important, and the fact that the US dollar has been overbought, might help gold show signs of life.
The 50-Day EMA is near the $1725 level and is dropping. Ultimately, this is a market that will look at that as a resistance barrier, so at this point in time, I think that we have a situation where exhaustion will breed nice trading opportunities, but in the short term I think a lot of people were more than willing to fade the serious signs of exhaustion. Ultimately, I think the market eventually goes looking to the exhaustion to get selling pressure to start yet again.
The gold market will be paying close attention to the bond market and interest rates, due to the fact that the rising interest rates make the idea of putting money into gold less attractive, as there is no real return. Ultimately, this is a situation where we continue to see plenty of volatility, but nothing has changed overall, and I think that the fundamental situation continues to remain the same. The $1625 level is an area of significant support, so therefore breaking below there opens up a floodgate of more selling pressure.
Gold Price Predictions Video for 03.10.22
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