Gold Price Forecast – Gold Markets Continue to Show Strength

Gold Price Predictions Video for 18.12.23

Gold Market Technical Analysis

Gold markets initially pulled back just a bit during the trading session on Friday, and then turned around to rally again. The $2050 level above should continue to be an area of resistance, especially as the Thursday candlestick pulled back from there. However, if we were to break above there, I think it gives gold markets the ability to go higher. Ultimately, I think that is what happens, especially as interest rates continue to crash in the United States. If that’s going to remain the case, it makes quite a bit of sense that gold will be a major beneficiary.

However, when you look at the chart you can see that we had that massive candlestick from the beginning of 2 weeks ago. The market should look at that area as potential resistance, but I think given enough time we will continue to try to drive to the top of it. That doesn’t necessarily mean that we are going to get there easily or quickly, but I think that the overall momentum continues to go higher. All things being equal, I think that once we break above the $2050 level, a lot of traders will be looking to jump into the market.

Underneath, I think the $2000 level is now your “floor in the market”, especially as the 50-Day EMA is grinding away toward that area, and of course is an indicator that a lot of people pay close attention to. With that being the case, short-term pullbacks will end up being buying opportunities, and therefore I look at them as possibly buying opportunities to pick up “cheap gold.”

In general, it is very likely that the interest rates in America continue to give gold a little bit of a boost, and therefore I think it’s a situation where it is probably only a matter of time before the buyers come back into this picture and continue to push. I have no interest in shorting gold, as we have seen such a bullish run over the last couple of sessions in this market, and of course the interest rate markets will continue to give fuel to this move, and I look at the possibility of a lack of liquidity heading into the end of the year as a potential opportunity to start buying.

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