Gold Price Forecast – Gold Markets Testing 200 Day EMA
Gold markets have rallied a bit during the course of the trading session on Monday, reaching towards the crucial 200 day EMA. That being said, there is a lot of noise just above, not the least of which would be the psychologically important $1800 level. Because of this, I believe that is an area which will continue to offer resistance, not to mention the fact that there is a little bit of a “double top” on the shorter time frame right around the $1815 level. Above there, then you have the $1835 level which has offered massive resistance recently. This does not necessarily mean that we cannot break above there, just that it would take a Herculean effort.
Gold Price Predictions Video 02.11.21
To the downside, if we break down below the lows of the Friday candlestick, I think that would be a very negative turn of events for a market that quite frankly has been struggling overall. Gold has been in a nasty downtrend for a while, but it is obvious that somebody somewhere is holding up the $1700 an ounce level. If we do break down from this region, I suspect we will probably go looking to retest that general vicinity.
The market is clearly struggling to maintain the momentum that we have seen over the last couple of weeks, and now the “rubber meets the road” in this general vicinity, as we will have to either break out or rollover. I suspect that we will get that answer relatively soon, so be cautious and keep your position size reasonable until the market makes a serious move in one direction or the other.
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