Gold Price Forecast – Gold Continues to Look for Support

Gold Markets Technical Analysis

Looking at the gold market it is obvious that we are testing a certain amount of support in the general vicinity that we are trading right now.

Underneath, we have the 50 day EMA offering plenty of support and the $2,300 level underneath is also an area that I think a lot of buyers are going to defend. Ultimately, this is a market that continues to be noisy, but it does have quite a bit of upward pressure. Ultimately, if we can go higher, the $2400 level could be a target, which of course is the next major round figure. Above there, then we have the $2450 level as well. This is a market that has been very bullish and now looks as if it’s doing everything it can to work off some of the excess froth. I think that makes sense.

And if the US dollar continues to get hit due to the weakening US economic figures, that could drive gold higher as well. And let us not forget that there is still a massive amount of geopolitical risk out there that you have to be cognizant of. So I think it all ties together quite nicely for gold to go higher under most circumstances that I see. Keep in mind that Friday, of course, is the jobs report in America, and that could throw markets around in general, meaning the dollar, which could have a knock-on effect here. But in general, it looks like it’s an area that people are stepping in and trying to buy.

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