Gold Price Forecast – Gold Continues to Power Ahead

Gold Markets Technical Analysis

Gold markets continue to see a lot of upward pressure as we continue to see the US dollar give back some of its strength. So now we have gold acting as a safety measure against tariffs. And then suddenly as a US dollar loses strength as people are not so concerned about tariffs, at least for the next five minutes, gold rallies based on that. So, what is the lesson here? The lesson here is that gold is going higher regardless. And with that, it’s a situation where you pay attention to what the market does, not what people say. Now, the question also is whether or not gold’s a little overextended here.

I think it probably is, but I will be taking a bit of profit sometime today and then letting it fall a bit and reload. This is an uptrend that I think probably goes on for quite some time. Regardless, you are in a situation where the $2,800 level should offer a bit of support based on market memory. And I think that’s the first thing that you would watch on any significant pullback.

I still believe that gold is going to the $3,000 an ounce level. But at this point in time, I just think that it’s a one-way trade. Now, I don’t think that you should chase it. I think you’re looking for value, and value is found in the form of dips. We saw that on Monday when everybody was freaking out about the tariffs being foregone for like 30 days. Sold gold, went into everything else, and then we turned right back around.

So here we are. We’re much higher than we were then. It’s been a strong three days, considering that at one point in time we were down to $2,775 or so, and we are about $90 higher now. So, with this, I remain bullish. There’s no way to short this market.

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