Gold Price Forecast – Gold markets bounce from support level
Gold markets bounced a bit during the trading session on Friday from the crucial $1325 level. However, it should be noted that the weekly candle stick is a shooting star, and therefore we could get a little bit more volatility. Looking at the daily chart, you can see that the uptrend line sits just below as well, so I think that if we do get a little bit of a pullback from this area, it’s likely that there will be plenty of buyers underneath. Ultimately, this is a market that is bullish, and I don’t have any interest in shorting it at this point.
Gold Prices Video 25.02.19
Looking at the US dollar is going to be crucial, because if it falls in value it would make sense that Gold will rally. Pain attention to the correlation is crucial, but if we did break down below the $1300 level, that could be the beginning of trouble for the gold market. At that point, I would anticipate a move to the $1275 level next.
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Overall though, I do think that the gold market is going to continue to be a bit volatile, but that’s nothing new. At this point, there’s nothing on this chart that suggests we should be looking to go short. Yes, we had a pretty significant pullback on Thursday, but quite frankly we had a very explosive move over the last couple of days. With that, the pullback had to have been just as significant. As for myself, I’ll be looking for a bit of value here and there that I can take advantage of in the form of cheaper gold.
Please let us know what you think in the comments below