Gold Price Forecast – Gold Continues to Respect The Resistance

Gold Markets Technical Analysis

The gold market has pulled back a bit to show signs of hesitation as the 2800 level continues to be a bit of a ceiling. A pullback to the $2,700 level is very possible, but it doesn’t look as likely just due to the fact that we’ve seen quite a bit of noise near the $2,750 level. Gold, of course, is continuing to see a lot of interest in the market due to geopolitical concerns and, of course, interest rate situational awareness. We have the Federal Reserve, the ECB, and the Bank of Canada all with interest rate decisions this week. So that obviously has a major influence on gold and multiple currencies.

When you look at the positioning of the market right now, it does form a little bit of a W pattern and that W pattern is likely to indicate that perhaps if we can break above the $2,800 level, we can go much higher. In fact, the measured move is to the 3,000 level, which I think is your target eventually. Short-term pullbacks at this point in time continue to be buying opportunities but do so in smaller increments as the volatility is probably going to get worse, not better. When I say that, I don’t mean that with just the gold market, I think the markets in general are going to continue to be very noisy.

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