Gold Price Forecast – Gold Markets Continue to Break Out

Gold Price Predictions Video for 26.12.23

Gold Markets Technical Analysis

Gold rallied on Friday to show signs of strength, as we broke above the $2050 level on Friday, and it does suggest that we are ready to go higher. Short-term pullbacks could be buying opportunities, and now the $2050 level should end up offering plenty of support. We had been consolidating between $2000 and $2050, but quite frankly I thought it would be after the holidays when we finally broke out to the upside. Regardless, the market is doing what it’s doing, which looks as if it’s ready to go much higher.

Even if we break down below the $2050 level, the market is likely to continue to see a lot of buying pressure underneath, so regardless I have no interest in selling gold. I also recognize that there are plenty of reasons for gold to go higher, especially as interest rates continue to drop in the United States. The gold market has a strong negative correlation to the 10 year yield in the United States, so therefore we need to pay close attention to the bond market. It does look like the market is likely to continue to see a lot of movement based on that, but at the same time, we also need to keep an eye on the fact that liquidity is disappearing through the holidays. The next week or so is going to end up being noisy, but regardless, I do think that it is only a matter of time before we reached the $2075 level.

When we finally do break above that $2075 level, it allows the market to continue going much higher, testing that massive wick from the crazy December 4 trading session. Any pullback at this point in time I am looking at is a potential valuable opportunity, and I believe that a lot of traders out there will be looking for that. Underneath, I think the $2000 level is a massive support level that I think is going to end up being a major “floor in the market”, and where I defined the trend at the moment, especially as the 50-Day EMA is reaching that general vicinity.

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