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Gold Weekly Price Forecast – Gold markets show signs of strength again

By:
Christopher Lewis
Updated: Apr 5, 2019, 17:08 UTC

Gold markets fell during most of the week but continue to find buyers on dips. The $1280 level looks to be massive support, and the fact that we have bounced from there more than once during the week or at least that range is a good sign.

Gold weekly chart

Gold markets pulled back during the course of the week, reaching towards the $1280 level. We have bounced from there are couple of times on short-term charts, and now have formed a nice-looking hammer. The $1280 level is rather important from what I can see, and now have a trend line drawn there. I do recognize that the $1300 level above is rather resistive and of course important, but we have sliced through it more than once.

Price of Gold Video 08.04.19

In general, I like buying gold on dips, at least as long as we can stay above the $1275 level. At that point then we probably open the door to the $1250 level, and then possibly even the $1200 level after that. To the upside is where I prefer though, and I think it is only a matter of time before we go looking towards the $1350 level. A break above there opens the door to the $1400 level.

Overall, the most important factor in this is going to be the US dollar and what happens next. It is overbought to say the least, so it makes sense that the market could see a bit of greenback softness, and that does help gold overall. Central banks around the world continue to be very loose with their monetary policies, so therefore it makes sense that Gold should continue to find a bit of a bid. All things being equal I am bullish but I also recognize that it is going to take a lot of patience to see long-term gains.

Please let us know what you think in the comments below

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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