Gold Price Forecast – Gold Markets Rally Slightly on Tuesday

Gold Price Predictions Video for 27-12-2023

Gold Markets Technical Analysis

Gold markets rallied just a bit during the trading session on Tuesday, as we continue to see a lot of upward pressure. The $2050 level is an area where we would see a lot of support underneath, as it was previous resistance in what is known as “market memory.” All things being equal, I do think this is an area where a lot of people would be interested in getting involved.

On the upside, we have the $2075 level offering significant resistance, and if we were to break above there, then it’s possible that we could continue to go much higher. After all, the gold markets had recently broken above there, as seen on December 4. That day was very odd, as it looked like we had a pocket of illiquidity, as we have that massive wick from that day that will obviously come into play and perhaps have traders searching for whether or not we have enough follow-through to continue going higher.

Keep in mind that the bond markets will have a major influence on where the gold markets go, and of course we also have to keep the idea of liquidity in the back of her mind, as to whether or not we have a true rally at this point. As we are between the 2 major holidays of the season, most traders will probably be paying more attention to family and friends than they will be to the chart. However, sometimes during the holidays, we can have other pockets of illiquidity, which can cause erratic moves. If that’s going to be the case, we could see an outsize move, but you just never know when somebody comes in with a big position or not.

At this point, it’s literally a bit of a guessing game, but the reality is that the overall trend is to the upside so more likely than not, any type of selloff would be met with significant skepticism, and therefore there should be plenty of buyers underneath if gold does present opportunities to pick up a little bit of value. With that, I have no interest in selling gold, but I do look at those pullbacks as entry points.

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