Gold Price Forecast – Gold Markets Attempting to Recover

Gold Market Technical Analysis

Gold markets have rallied a bit during trading on Monday as we continue to see a lot of noisy behavior in marketplaces. The gold markets are a bit oversold, so it does make sense that we would see a little bit of a rally. At this point, I believe that the rally more likely than not will be faded, with the $1750 level being a prime suspect for that to happen. With that being the case, I think it’s only a matter of time before we see the exhaustion candle necessary to get short again.

At this point, it’s probably only a matter of time before we threatened the $1700 level again, which is an area that is going to be important in general. The $1700 level is crucial on a longer-term timeframe basis, extending down to the $1680 level. If all of that gets broken through, we could see gold plunged down to the $1500 level. In the meantime, it looks like we are simply trying to recover from a major oversold condition, and therefore I think it’s only a matter of time before this bounce gets sold into.

That being said, markets don’t go in the same direction forever so this all lines up quite nicely for a longer-term continuation move, especially if the US dollar suddenly rallies again. The US dollar is a little overbought, which means gold is typically oversold. In general, I don’t have any interest in owning gold, at least not until the Federal Reserve changes its attitude. Once gold turns around, you will probably see stock markets and other risk assets do the same.

Gold Price Predictions Video for 19.07.22

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