Gold Price Forecast – Gold Markets Settle at 200 Day EMA
Gold markets pulled back a bit during the trading session on Monday as we have continued to see a lot of noisy behavior. The 200 day EMA continues to be an area that a lot of people will pay attention to, especially as it is flat and therefore suggests that we are essentially in a sideways market. That being said, pay close attention to the US dollar, because it has a significant negative correlation in general, and as a result I think that the US dollar will be the biggest influence on this market.
Gold Price Predictions Video 03.08.21
To the downside, the $1790 level is supportive, and therefore I think if we break down below there, we could go down towards the $1750 level. That is where we have bounced significantly from before, and if we break down below there then it is likely that the $1680 level will be tested as it is where we formed a massive “double bottom.” On the other hand, there is that gap above that sits at $1860 level that would need to be filled. Breaking above there then opens up the possibility of a move much higher, but I think at this point it is going to take a little bit of a push to make that happen.
One thing is for sure, the market is choppy to say the least, so the easiest thing could possibly be to trade back and forth in small increments in order to take advantage of the obvious range that I have marked on the chart that has been important for several weeks now and from what I can see will continue to be.
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