Gold Price Forecast – Gold Markets Very Noisy

Gold markets have been all over the place during the trading session on Monday, drifting down towards the $1860 level before bouncing. By doing so, it shows a significant amount of support, but at this point in time it is likely that the 50 day EMA above is going to continue to be interesting. The fact that the indicator is sitting at the $1900 level suggests that the market is trying to see whether or not it can break above there. Ultimately though, we had that nasty red candlestick from last week that could continue to show signs of negativity, and typically do not have those types of candlesticks without some kind of continuation.

Gold Price Predictions Video 17.11.20

Furthermore, the $1800 level underneath would be the best place to be a buyer from what I see, due to the fact that it was the scene of a major breakout and of course the 200 day EMA is sitting there. All things being equal, this is an opportunity to pick up gold at a massive support level, but I also recognize that the market is going to be highly sensitive to the US Dollar Index as well, as we have had a massive negative correlation.

Ultimately, I do think that it is only a matter of time before we go higher but right now it looks to me as if the market is not ready to make a significant decision, so I would expect more choppy and difficult trading conditions, and therefore you probably need to look to the daily supportive candlestick before putting some type of money to work. Right now, we do not quite have that, but it is starting to stabilize a bit which is a good sign.

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