Gold Price Forecast – Gold Markets Have Choppy Thursday

Gold Market Technical Analysis

Gold markets have gone back and forth on Thursday as we continue to see a lot of volatility. The $1680 level continues to offer significant resistance and is a barrier that a lot of people have been paying attention to. With that in mind, it’s not a huge surprise to see a little bit of a hesitation there, and as GDP numbers came out a little hotter than expected, people have been all over the place as to what they think the Federal Reserve is going to do.

Look at this chart, I believe that the $1650 level offers potential support, but I would also point out that we have been below there couple of times. A breakdown below the $1650 level opens up the possibility of a move down to the double bottom which is currently positioned right around the $1625 level.

If we were to try to break higher, keep in mind that the $1680 level is backed up by the 50-Day EMA, which is just below the $1700 level. That area should be very difficult to overcome, especially if the US dollar starts to pick up strength again, which quite frankly it’s been a bit oversold over the last couple of days. That being said, I suspect that there is probably more downside likelihood than anything else.

I don’t necessarily think it’s going to be easy to trade this market, so you should probably be cautious with your position sizing. Given enough time, I fully anticipate that we will see this market have to make a bigger move, and it will be a huge one. I still would reiterate the fact that we are very much in a downtrend.

Gold Price Predictions Video for 28.10.22

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