Gold Weekly Price Analysis – Gold Struggles to Build on Previous Gains

Gold Technical Analysis

The gold market initially surged during the week, but has given back some of the gains, and it looks like we may close out the week with some type of shooting star. That’s not a good look, but it’s also understandable considering that the previous week was a major breakout to the upside of a consolidation area that we had been in for a while.

Interest rates still are a bit of an issue for gold traders, and it’ll be interesting to see how those move. This week has been somewhat flat, but the interest rates, especially in places like America, will capture headlines as they are elevated.

Key Technical Levels and Weekend Positioning

A pullback from here could be looking to the 50-week EMA for some type of support, right around the $4,240 level. That’s just above the breakout point from the previous week, and it could be a breakout, pullback, retest type of situation.

To the upside, the $4,600 level looks to be resistance, as it has been in the past, so that might be a difficult barrier.

Heading into the weekend on Friday, it looks like traders aren’t really willing to put a lot of money into the market, at least not yet. And that makes sense because caution is probably the better part of valor here.

Interest rates, the situation in the Middle East, and quite frankly, the questions about the Federal Reserve and whether or not they’ll be able to raise interest rates as quickly as once thought all come into the fray here. Ultimately, gold looks like it’s made a nice bounce, but it may not be ready to just simply go parabolic like it did previously.

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