Gold Price Forecast – Gold Seems Stagnant During Thursday Session

Gold Price Predictions Video for 26-01-2024

Gold Markets Technical Analysis

Gold has been somewhat quiet during the trading session on Thursday as we continue to hang around the 50 day EMA. The 50 day EMA of course is an indicator that a lot of people pay close attention to, and it has offered a lot of support over the last several months. All things being equal, this is a market that I think shows a potential lack of interest by traders at the moment but I think a lot of this comes from the idea that the Federal Reserve is going to cut in 2024. At the same time, we have to ask questions whether or not the ECB will do the same. So right now, if we do start to see more central banks talk about loosening monetary policy, that should help gold.

Furthermore, we could also see a significant amount of upward pressure in gold, not only due to interest rates dropping in the year 2024, but also the fact that there are a lot of geopolitical concerns out there. After all, the attacks in the Red Sea continue to cause issues with geopolitical scenarios and of course, global growth because it interrupts the supply chain. The $2,000 level underneath is a significant amount of support that I think will have to be paid close attention to,  and I think it’s more or less going to be a support zone.

That zone extends down to the $1,980 level, and at this point, it looks like the 200-day EMA is trying to get there. All things being equal, this is a situation where the market participants will continue to see more of a buy on the dip attitude, but that doesn’t necessarily mean that gold is going to be overly bullish anytime soon, it may be more of a drift higher. Quite frankly, the markets are very quiet at the moment so I think we’re in a state of flux as a lot of traders are waiting to see where to put their money to work. If we do rally from here, the $2040 level is a bit of a barrier, followed by the $2075 level, which is a massive barrier.

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