Gold Weekly Price Forecast – Gold Markets Bounce From Technical Support

Gold Price Predictions Video for 28.08.23

Gold Weekly Technical Analysis

Gold has found support at the crucial 50-Week EMA, which sits just above the $1900 level. At this point, it looks like we continue to consolidate overall, with the $2000 level being a potential target. Underneath, the $1900 level will end up being a major support level, and if we were to break down below there, things could get rather ugly in the gold market.

You will have to keep an eye on the bond markets to understand where we are going next. Typically, higher interest rates do put a bit of an anchor around the neck of gold, and therefore it makes a certain amount of sense that the bond market has to be watched. On the other hand, if gold market starts to take off, it could be due to lowering interest rates. It’s difficult to imagine that being the case, but it is possible we don’t know how the markets going to react to Jackson Hole. All things being equal though, it does suggest that we are in some type of consolidation.

Keep your position size reasonable, because it is the end of summer, it is probably worth noting that a lot of major players are away on holiday, thereby making the action a little less trustworthy than typical, and therefore caution is the better part of valor. All things being equal, you should probably wait to see if your position works out before building it up, perhaps entering with small bits and pieces along the way.

The inverse correlation to the US dollar might very well take center stage, so keep that in mind, and watch the US Dollar Index, right along with those bond markets in America to get a feel for where gold should go.

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