Gold Price Outlook – Gold Rallies Slightly on Wednesday Morning

Gold Markets Technical Analysis

The gold market rallied slightly during the early hours on Wednesday as we continue to see a little bit of volatility, but quite frankly, I think we’re still, for the most part, in a bit of a consolidation phase. After all, we have the jobs number on Friday and we have yields exploding in the United States, which sometimes can work pretty drastically against gold.

We’ll just have to wait and see how that plays out. But there are a lot of concerns about tariffs, I guess, which it’s almost like the world didn’t pay attention to Donald Trump the first four years. He comes in hard. He finishes the deal a little bit more reasonably. So, I don’t know that it is a major factor, at least for any length of time. So now we have to look at whether or not the market is ready to get moving.

I think you’ve got a situation where $2,600 underneath offers a little bit of support. $2,700 offers a bit of resistance. We’re hanging around that 50 day EMA, which of course is an indicator that a lot of people pay close attention to, and it is flat. So, I don’t really think there’s a turn right here.

I think what we have is a situation where traders are just simply digesting all those gains from the previous year. And now we’re watching the 10 year yield to figure out what we’re going to do next. So, we’re more or less in a wait and hold pattern. But I think Friday could answer some questions with that employment.

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