Gold markets went back and forth during the trading session on Thursday, as we continue to hang about the $1275 level. This is an area that has been supportive more than once and of course we have the 200 day EMA hanging about this area as well. The fact that the Thursday candle was a bit neutral suggests that we are going to continue to struggle for direction. However, if we break out of this range that we laid out over the last couple of days, we could go significantly higher or lower, depending on the directionality of the move.
Gold Price Predictions Video 19.04.19
Keep in mind that the Thursday candle stick would have been low-volume, as we approach the Good Friday holiday on Friday. There is a lot of questions when it comes to the gold market, but the US dollar will have its say. The US dollar is strengthening a bit, but when you look at the EUR/USD pair you can also see that a bounce could be imminent. If that happens then gold probably rallies towards the $1290 level, possibly even the $1300 level. To the downside, if we break down below the bottom of the candle stick for the Thursday session, then we could break down significantly towards the $1250 level, and then eventually the $1225 level.
The one thing we can count on is that we are about to get a significant move, and you could even make an argument for a bit of a head and shoulders from a longer-term pattern standpoint. That also suggests a move down to the $1225 level.
Please let us know what you think in the comments below
This article was originally posted on FX Empire
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