Gold Weekly Price Forecast – Gold Tests Highs Yet Again

Gold Markets Weekly Technical Analysis

The week was very bullish for gold at one point, and this was especially true after the Federal Reserve statement and press conference. However, we have seen the market give up those gains rather rapidly and form a massive shooting start for the week.

Now this doesn’t mean that the market is over and that the trend is going to fall apart. It just means that we may be a little overextended. Being overextended means that we need to find some type of value. The area right around where we are right now has been consolidated on the daily chart for a while, but we could fall all the way down to the $2075 level, an area that previously had been significant resistance.

That market memory should come into the picture and pick things up. On the other hand, if we break above the top of the weekly candlestick that we are forming, that would be extraordinarily bullish. In general, this is a market that continues to be very noisy, but very bullish. Keep in mind that central banks around the world are net buyers of gold.

There are plenty of massive geopolitical concerns out there. And of course, interest rates should be going lower later this year. So, all of that ties together quite nicely for a potential move higher in the gold market. And I do believe that the bulk of this year will be very bullish for this commodity, as traders will be working to stay safe with gold, but also protecting wealth as currency markets will mark down a lot of loose central bank policy later this year as well.

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