Gold markets rallied significantly during the trading session on Thursday, breaking towards the $1750 level, and has also seen it break above the symmetrical triangle that has been so crucial, just in time to make this pattern recognizable. The fact that we broke out on Thursday is not to be ignored, because quite frankly it needed to happen. We were getting close to the apex of the triangle, and that means that it could have negated the entire move. That being said, what is even more important as the $1700 level underneath which offers a significant amount of support, and as a result I look at pullbacks as potential buying opportunities.
Gold Price Predictions Video 15.05.20
Looking at the gold volatility index, I can also see that it is likely that we will see pullbacks, so therefore I am adding to a core position on dips as it provides value. The previous downtrend line of the symmetrical triangle should be rather supportive, so that is another reason to think that we may go higher. Beyond that, the 50 day EMA sits just below the triangle, and it makes sense that we would see a lot of buyers down there as well. Truth be known, I do not anticipate that the market is going to drop like that, but it is always a possibility. I believe we are going to continue the slow grind higher. Because of this, I am bullish of gold and given enough time it is likely that we will continue to see markets reach towards the $1800 level albeit at their own pace.