Gold Price Forecast – Gold Markets Form Upside Bar

Gold Market Technical Analysis

Gold markets have rallied quite a bit during the trading session on Friday as the jobs number came in a little lower than anticipated. That being said, it looks like the gold market could be doing a little bit of short covering, or perhaps people are actually starting to price in the idea of the Federal Reserve not tightening as much. Either way, it looks like a bounce is coming, and we may go looking toward the $1750 level again. This is an area that has been important a couple of times, and therefore I would anticipate quite a bit of “market memory” to show itself in that general vicinity.

When you look at this chart, you can see clearly we are in a downtrend, and you can also see that somewhere around the $1700 level, there seems to be a lot of demand. Bouncing from here is not a huge surprise, but I don’t necessarily think that this is the making of a massive “double bottom.” A lot of things will have to happen before that’s confirmed, but it is worth noting that somewhere around the $1680 level, there is a massive amount of support from longer-term charts.

The 50 Day EMA is at the $1775 level, and it looks like it is starting the slope toward that $1750 level. In other words, I think this is a short-term bounce that I will be able to sell later, but I certainly won’t get in the way of it right now. Furthermore, keep in mind that Monday is Labor Day and the United States, so electronic trading will be thin and limited at best. This could help the bounce as well.

Gold Price Predictions Video for 05.09.22

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