Gold Price Forecast – Gold Continues to Attract Attention -

Gold Markets Technical Analysis

Gold markets have gone back and forth as it looks like we are continuing to at least attempt a squeeze higher. All things being equal, this is a market that I think has to digest some of these gains. Will we get a pullback into it?

I certainly hope so because I would be more than willing to be a buyer. The RSI is starting to pull back towards the 70 level so that shows a potential return to normalcy. You can also make an argument for some type of weird divergence in the RSI, but regardless gold is a market that is very strong for multiple reasons and therefore I think it continues to go higher eventually.

A pullback all the way to the $2,200 level would be ideal, although I don’t know if we get it. Speaking of $2,200, the 50-day EMA sits just below there, just as the $2,150 support level does. Ultimately, it’s a buy on the dip market until interest rates get under control, central banks stop buying gold, and of course geopolitical tensions calm down, which I don’t know that any of that is happening any time soon, so it remains bullish.

I have no interest in shorting this market. You could tell me that it’s dropping $200 tomorrow and I don’t know that I would take that trade. On the other hand, I am very interested in picking up gold after it falls so we’ll have to wait and see how things play out, but a little overstretched at the moment.

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

This article was originally posted on FX Empire


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


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