Gold Price Forecast – Gold Markets Roll Over

Gold Market Technical Analysis

Gold markets have fallen hard during the trading session on Friday, as we continue to see US dollar strength be a burden to this market. Furthermore, interest-rate spiking have done nothing to help gold, and central banks around the world tightening also causes a bit of an issue. Ultimately, I think this is a market that will retest the lows, which have formed a bit of a “double bottom” in the short term.

Breaking down below that area, which is near the $1625 level, opens up the possibility of a move down to the $1600 area. Rallies at this point continue to look suspicious, and therefore I don’t have any interest in trying to get long at this point. I think if gold were to change the overall trend, you probably have a long time to hang on to the position in get involved. The 50-Day EMA is sitting below the $1700 level, and it looks as if it is going to go down to the crucial $1680 level rather quickly. Because of this, I think that longer-term traders will continue to short gold, as it does not pay any type of yield, unlike bonds do these days.

If we do break above the 50-Day EMA, then we could make a run toward the $1750 level, but that would almost certainly take a looser than anticipated Federal Reserve next week, as they have an announcement on Wednesday that will certainly have people listening to the statement quite closely. If the Federal Reserve remains hawkish, that could cause major problems for all assets, not just the gold market as the negative correlation remains very tight between these 2 assets.

Gold Price Predictions Video for 31.10.22

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