Gold Price Forecast – Gold Continues to See Buyers

Gold Markets Technical Analysis

The gold market rallied a bit during the early hours on Friday, as we continue to see a lot of reasons for gold to climb from here. Quite frankly, interest rates rising in America, although bad for gold under most circumstances are probably the least of the concerns right now.

We have a lot of geopolitical tension, especially as the war in Ukraine continues to escalate. So, it does make a lot of sense that gold would continue to grind higher. Central banks around the world continue to buy gold, including Russia, China, Indonesia, India, and a whole slew of others. So, you have a natural buyer in the market regardless.

From a technical analysis standpoint, we have just broken over the 50 day EMA again in the middle of the week, and we are closing towards the top of most candlesticks suggesting that there is in fact plenty of buying pressure. We had bounced from a major trend line, and now it looks like we’ve got the $2,800 level in our sights.

The $2,800 level was the swing high that we had recently formed. So, it’ll be interesting to see if we can get above there. I do think it happens given enough time, but you have to be very cognizant of the fact that there should be some volatility as we approach that area. Keep in mind that unless the global situation changes, it’s very likely that traders will continue to take on gold as a little bit of protection for their portfolio.

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