Gold Price Forecast – Gold Markets Have a Strong Reversal on Friday

Gold Market Technical Analysis

Gold markets have initially fallen during the trading session again on Friday but found buyers to turn things around and show signs of life. This is a rather impressive turnaround, but at the end of the day, it is but a blip on the radar when you look at the entirety of the move. After all, sooner or later markets have to bounce a bit because we will not be able to go straight down forever.

It’s possible that we could be seeing a bit of short-covering heading into the weekend, so that might be part of what we are looking at. Ultimately, this is a market that I think will continue to see a lot of noisy behavior, but I also believe that there are massive areas of resistance above, especially near the $1800 level where we had broken through major support. I would more likely than not be willing to let the market bounce a bit, look for signs of exhaustion, and then start selling again.

On the other hand, if we were to break above the top of the massive red candlestick from Tuesday, I’d be a buyer. That would show a massive turnaround and would more likely than not offer the possibility of a huge move. The 50 Day EMA is at the $1837 level and dropping, so that also offers a significant amount of dynamic resistance. Stepping on the sidelines and letting the market do what it wants to do and look for signs of exhaustion will be the way I’m playing this market, as there has been so much US dollar strength.

Gold Price Predictions Video for 11.07.22

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