Gold Price Predictions Video for 13.07.23
Gold Market Technical Analysis
Gold markets have rallied a bit during the trading session on Wednesday, as it looks like the 50-Day EMA is coming into the picture to offer a bit of resistance. If we can break above there, then the market is likely to go much higher, perhaps reaching the 200-Day EMA. It’s worth noting that CPI numbers in the United States came out lower than anticipated, so that of course does have a negative effect on the US dollar, which in the end also helps gold as the 2 are somewhat negatively correlated most of the time. With that being the case, I think you continue to see more of a “buy on the dip” situation in this market, as the 61.8% Fibonacci level and the 200-Day EMA indicator have both offered support as well.
If we were to break above the $2000 level, that would be a major breach of resistance, and would almost certainly bring a lot of people into the local market to chase it higher. On the other hand, if we were to break down below the 200-Day EMA, then it’s likely that we would see the market really unravel, breaking through the $1900 level, and then down to reach the $1800 level, where the market had taken off from previously. If it were to break down below there, it would be the absolute end of the uptrend in gold. While I don’t necessarily see that happening, that is the longer-term “nightmare scenario” for the gold bulls.
I anticipate that we will have more upward pressure than down, but we also have to keep in mind that it will be noisy and there is a lot of previous action just above current pricing, so I think it will cause a few headaches along the way. That doesn’t necessarily mean that the market is going to suddenly turn around, but I do think that the occasional pullback is very likely as we try to break out to the upside. Gold has been choppy for a while, but it looks as if it is starting to turn the corner.
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