Gold Price Forecast – Gold Markets Testing 50-Day EMA

Gold Price Predictions Video for 18.05.23

Gold Market Technical Analysis

Gold markets continue to drift a little bit lower during the trading session on Wednesday, but it’s probably worth noting that we are sitting right at the 50-Day EMA. The 50-Day EMA quite often will attract a certain amount of attention, so it is probably worth paying attention to this area and whether or not it holds up. If it does, then the gold market will have to tangle with the $2000 level. That being said, it may not be as difficult as it sounds, because quite frankly it has been sliced through multiple times.

On the other hand, if we get a daily close well below the 50-Day EMA, then it’s very possible that the market will drop to the $1950 level, possibly even as low as $1900 where the 200-Day EMA currently sets. All things being equal, it is more likely than not going to continue to be a “buy on the dip” market, but it does need a bit of a correction. Gold had gone straight up for so long that it’s not a huge surprise to see that some exhaustion may have set in.

Pay attention to the bond markets, because they could give you a bit of a heads up as well, as rising interest rates may work against gold for a while, but the wealth preservation aspect of gold is something that should not be overlooked. After all, there is a lot of uncertainty out there and it does make quite a bit of sense that we would see gold look attractive for most traders. That being said, it’s hard to chase a market that has rallied the way gold has, so I would expect a bit of instability over the next couple of days, but eventually we might be able to sort things out again. In the meantime, this is a market that I think will have to decide where it wants to go for a bigger move, and I think we probably need to flush out some of the “weak hands” ahead of time.

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