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Gold Price Forecast – Gold Markets Test Highs Again But Fail

Christopher Lewis

Gold markets have initially tried to rally during the trading session on Wednesday but found trouble at the $1700 level again. By pulling back from there it shows just how resistive that area is, and perhaps more importantly for the future, what breaking above that level might mean for longer-term moves. Granted, we did race there rather quickly, and the pullback should not be a huge surprise considering just how overdone this rally was initially. By pulling back the way we have, it gives traders an opportunity to pick up a little bit of value.

Gold Price Predictions Video 26.03.20

To the downside, the market does break down below the lows of the trading session, then it opens up an assault on the $1600 level. Breaking down below there opens up the $1550 level next. With that being the case, it’s very likely that we have a roadmap that we can pay attention to, and therefore I’m looking at all of these levels underneath for potential buying opportunities as gold should offer a bit of safety and what has been an extraordinarily negative time. Ultimately, I do think we break out and fresh money comes into the gold market, pushing it even higher, perhaps as high as $1800 and then eventually the $2000 which is a longer-term target of mine. At this point, the candlestick is a sign that perhaps we are running into a little bit of exhaustion and that is something that can be taken advantage of, not necessarily in the form of shorting but as a sign that we will get value soon enough.

This article was originally posted on FX Empire

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