Gold Price Forecast – Gold Markets Gap Higher to Kick Off Week

Gold Price Predictions Video for 31.10.23

Gold Market Technical Analysis

Gold markets have gapped to the upside to show signs of strength again at the open on Monday, and therefore it’s likely that the gold market is going to try to do everything it can to rally, but you should also keep in mind that gold is mainly moving on geopolitical headlines, and therefore you got a situation where it can move rapidly in one direction or the other out of the blue. You need to be cautious with your position sizing more than anything else, so make sure that you are not overexposed.

That being said, it’s obvious that the buyers are in control, and therefore short-term pullback should continue to attract traders again. It looks like the $2000 level in the futures market is also trying to offer a bit of a floor, so I think ultimately we’ve got a look at this through the prism of a market that is extraordinarily bullish, but you also need to scale into a position if you are chasing gold all the way up here.

If we were to turn out and take out the lows last week, that would obviously be a very negative turn of events, perhaps sending gold down to the $1950 level, maybe the $1900 level. Ultimately, this is a market that I think continues to see a lot of momentum based trading more than anything else, so if the market starts to move against you, you probably need to be quick to get out.

If we break above the high of the shooting star candlestick on Friday, then it opens up the possibility of a move toward the $2050 level. In general, this is a market that continues to move to the upside overall, but that doesn’t mean we won’t get the sudden selloff occasionally, especially if Israel makes some type of move to slow down the hostilities. However, once things start to pick up as far as the hostilities are concerned, then gold will take off to the upside. You need to be very cautious with the position sizing and therefore it’s likely that the prudent plan will be to slowly get involved.

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