Gold Weekly Price Forecast – Gold Markets Break Psychological Barrier Again

Christopher Lewis
Published: Apr 7, 2023, 16:11 GMT+00:00

Gold markets initially dipped during the course of the week, dropping down to the $1970 level, before turning around and breaking above the $2000 level.

Gold, FX Empire

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Gold Price Predictions Video for 10.04.23

Gold Weekly Technical Analysis

Gold markets have gone back and forth during the course of the trading week, initially dropping, only to turn around and show signs of strength again. Ultimately, this is a market that will continue to see a lot of noisy behavior. At this point, a certain amount of wealth preservation is probably coming into the picture, and therefore it’s worth noting that the gold markets have seen a major inflow due to that. That being said, I also recognize that the market will probably continue to see a lot of volatility as we have stretched ourselves so far to the upside.

The $2000 level of course is a large, round, psychologically significant figure, and therefore it’s attracting a lot of attention. Ultimately, this is a market that I think plenty of traders we willing to jump into the market and pick up value as it occurs. The $1966 level seems to be significant and its support, just as the $2050 level seems to be significant resistance. At this point, we are starting to squeeze, so it’ll be interesting to see if we can take off to the upside, or if we need to have some type of pullback.

That being said, a pullback more likely than not only offers value, and therefore I think you should be looking at pullbacks as an opportunity to pick up “cheap gold.” That being said, the market has been a bit overdone, so a pullback is actually a healthy thing to do, as the market cannot go straight up in the air forever, and eventually, we will see gravity come back into the picture.

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

About the Author

Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.

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