Gold Price Forecast – Gold Markets Continue to Sit on the 50-Day EMA

Gold Price Predictions Video for 08.08.23

Gold Market Technical Analysis

Gold markets have bounced around during the trading session on Monday, as we are sitting on the 50-Day EMA, which of course is an indicator that a lot of people will pay attention to. Furthermore, the $2000 level above is a large, round, psychologically significant figure, which of course attracts a lot of attention. All things being equal, if we were to break above that level, then we could go looking to the $2050 level, but I think it’s going to take some type of momentum to make that happen.

In the short term, the market continues to be very choppy and sideways, and I think a lot of patience will be needed in order to go to the upside. In the short term, we may have a certain amount of support, with the $1950 level offering support, and then of course the 200-Day EMA underneath there will do the same. The $1900 level is the absolute “floor in the market” that we see at the moment, and therefore if we were to break through that level, then it more likely than not will signal a major trend change.

Recently, we have seen a little bit of a pullback, but it looks as if the buyers are trying to support the market, as we dance around the 50-Day EMA. Breaking above the high of the Friday candlestick opens up the possibility of a move to the $2000 level, but it might be a bit difficult and noisy along the way. Because of this, keep your position size reasonable as the volatility could be very difficult to deal with. Under this type of situation, you probably have a market that could also be called as forming a “bullish flag”, so therefore I think you’ve got the possibility of further upward momentum based on technical analysis as well. Pay attention to the US dollar, because the negative correlation is somewhat strong, but the correlation does break from time to time, especially in times where people are looking to pick up safety assets.

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