Gold Price Forecast – Gold Falls as We Wait for CPI

Gold Price Predictions Video for 13.09.23

Gold Market Technical Analysis

Gold markets have fallen a bit during the early hours on Tuesday, as we are hanging around between the 50-Day EMA above and the 200-Day EMA underneath. All things being equal, this suggests that we are going to continue to see a lot of noisy and choppy behavior, so therefore I don’t think it’s much of a surprise to assume that the market is going to be noisy. The 200-Day EMA sits underneath, which extends down to the $1900 level as significant support. If we were to break the role that, then the market is likely to go much lower.

On the other hand, if the market were to break above the 50-Day EMA, then it opens up the possibility of a move toward the $2000 level, which obviously is a large, round, psychologically significant figure that a lot of people will be paying attention to, and the fact that there is more likely than not going to be a lot of options barriers in that general vicinity anyway.

Looking at this scenario, I think we continue to see a lot of noise, and of course you will have to pay close attention to inflationary pressures, and the interest rate situation in the United States. Ultimately, when you look at this situation, the market will end up being noisy and influenced by a lot of external factors, with the CPI figure being the main driver, but we also have the ECB announcement on Thursday as well, so it all ties in together. Whether or not this offers value remains to be seen, but it certainly looks like we could see buyers jump into this market underneath.

There is a somewhat negative correlation to the US dollar at times, but ultimately it all comes down interest rates which drive those dollar valuations. Looking forward, I also think that there is probably a lot to be said for safety, and that could be part of the bid as well. Ultimately, it is probably only a matter of time before we see some type of bigger move, but when we look at the premarket moves, it certainly looks like the sellers are starting to step up the pressure.

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