Gold Price Forecast – Gold Markets Will Run Into Resistance

Gold Price Predictions Video for 13.10.23

Gold Market Technical Analysis

Gold markets have rallied a bit during the trading session on Thursday, but gave back gains rather quickly due to the fact that the CPI numbers came out hotter than expected, and therefore it does make quite a bit of sense that gold would get hammered as interest rates continue to rise. The $1900 level above is a large, round, psychologically significant figure, but it’s also an area where we previously had seen a lot of market action. After all, “market memory” should come into the picture in this general vicinity, and we are already starting to see the market somewhat confirm that.

Underneath, the $1850 level offers support, and then the $1800 level after that. I suspect that these are the 2 levels that we are going to be looking toward, and the fact that we are now getting the so-called “death cross” is starting to come back into the picture as well. This is when the 50-Day EMA breaks down below the 200-Day EMA indicator, and is typically a longer-term negative signal.

You will have to pay close attention to the bond markets in the United States and the yields coming out of the 10 year yield. The 10 year yield and the short end of the yield curve continues to be one of the main drivers of most markets in general, and gold is particularly sensitive to that. If we were to turn around a break above the moving averages, then it’s possible that we could go much higher, perhaps break into the $1950 level, and then eventually the $2000 level. That seems very unlikely to happen anytime soon, especially after the price action that we are starting to see on Thursday.

I do anticipate that we will see a lot of volatility, so keep your position size reasonable, but that’s probably the way to go going forward in most markets right now, although gold does tend to be fairly volatile overall, so it may be even more exacerbated at this point in time. Ultimately, I have a intermediate term negative bias in this market, although I do think that eventually gold shines.

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