Gold Price Forecast – Gold Markets Take Off After Jobs Number

Gold Price Predictions Video for 13.03.23

Gold Market Technical Analysis

The gold market has rallied rather significantly during the trading session on Friday to kick off the idea of a “double bottom” forming at the 200-Day EMA now. The jobs number may or may not have had people selling off the US dollar based upon some type of idea that perhaps wage pressure in the employment situation in America is starting to drop a bit, but there are multiple things out there that are going to move the markets, most specifically the US dollar.

Keep in mind that the gold market and the US dollar tend to have negative correlations, but they don’t necessarily have to trade that way at all times. Interest rates going up and down will also create quite a bit of volatility in gold, but it is probably worth noting that this is a very bullish candlestick. If we do rally from here, then I begin to focus on the $1900 level, because the $1900 level is an area where we had seen a lot of selling pressure previously and formed multiple inverted hammers in that region.

To the downside, the 200-Day EMA does look like it’s going to offer significant support as we have bounced so hard from there, and it’s probably worth noting that it is backed up by the $1800 level. With that being the case, it could be a short-term bottom, but there are also a lot of questions as to whether or not the US dollar is done rallying. Quite frankly, it does not look likely to be the case, so I think that could come into the picture and offer a little bit of resistance to the gold market.

Either way, in the short term it looks like this market is going to be bullish, so you have to believe that buyers are going to become a bit aggressive. Keep in mind that the action after a Non-Farm Payroll announcement tends to be very noisy and sometimes nonsensical, and it’s not uncommon for traders to take a look at the market through the weekend and come to a completely different conclusion. In other words, Monday very well could be a bit of a pullback.

For a look at all of today’s economic events, check out our economic calendar.