Gold Price Forecast – Gold Markets Sit at 200 Day EMA

Gold markets have done very little during the trading session on Tuesday as we are struggling with the 200 day EMA. The 200 day EMA of course typically will cause quite a bit of noise, so therefore I think a lot of attention will be paid to the gold market in the short term. It is worth noting that the Jackson Hole meeting this week will have a lot to do with what happens with the greenback next, as people are starting to question whether or not the Federal Reserve will taper by the end of the year. If they do, that will offer more in the way of interest rates in America, which is absolutely toxic for gold. (Assuming that interest rates do in fact keep up with inflation.)

Gold Price Predictions Video 25.08.21

To the downside, the $1780 level should be somewhat supportive, and if we were to take that out, we would get rid of the candlestick from the Monday session which would be a very negative sign. In that scenario, I think the market could go looking towards the $1750 level, and then possibly even beyond. On the other hand, if we can turn around a breakout above the $1835 region, then it opens up a much bigger move for the gold market to continue trying to form some type of uptrend.

At the end of the day, the market is going to be moving on the Fed speak more than anything else, so pay close attention to what is going on with headlines coming out of Wyoming later this week. In the meantime, people are banking on Jerome Powell being dovish, but there has been a few comments here and there from Federal Reserve governors suggesting tightening by the end of the year.

For a look at all of today’s economic events, check out our economic calendar.