Gold Price Forecast – Gold Markets Rally After PCE -

Gold Markets Technical Analysis

You can see it’s been a very bullish session here on Thursday as the PCE numbers came out as anticipated in the United States. And that of course helps everybody because that is the major major inflation gauge that the Federal Reserve uses. And therefore, people start to think that the Fed is going to stay on track to cut. If that’s going to be the case, then gold should have a fairly decent run here. I like the idea of buying short-term pullbacks. That’s been the case all along. The 50-day EMA should offer plenty of support. The 2000 level underneath is the beginning of what I think is the floor in the market that extends down to the $1,980 level.

With this, I also would point out that the $2,075 level above is a major barrier, and it’s probably going to be difficult to get above there. But once we do, that then becomes a buy and hold market. In that scenario, I just don’t see how you can sell thegold market Anytime you get an opportunity to pick up a little bit of value, you should be jumping on it. But that doesn’t necessarily mean that you jump on it with both feet and with a huge position. You’re looking to add gold to your portfolio due to the fact that we will probably see central banks cutting.

But you also have geopolitical concerns out there that could make gold a decent investment anyway. Gold does tend to be very noisy. It’s something that you’re going to have to deal with. It’s just a fact of life. Ultimately, I like the idea of buying pullbacks, and I do think that eventually we will break above the $2075 level and become more of a buy and hold market. It’s also worth knowing that the 200-day EMA is now approaching that hard floor, so that gives it even more credence. This is certainly a market that has built in a lot of areas to use for support and resistance, and should continue to be a good one to be involved in.

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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