Gold markets went back and forth during the trading session, essentially showing negativity to reach down towards the $1700 level. The $1700 level would of course be an area that will attract a lot of attention due to the fact that it is a large, round, psychologically significant figure, and of course an area that had previously been resistance. By showing resistance there, and of course support, the market looks as if it wants to go higher over the longer term. Having said that, one thing that you should pay attention to is the fact that we are forming a bit of a symmetrical triangle. That of course is a sign of inertia being built, and that could signify an explosive move given enough time.
Gold Price Predictions Video 06.05.20
To the downside, I see the 50 day EMA underneath as massive support, and it is likely that there will be plenty of buyers in that general vicinity. On the other hand, if we were to break down below there then we are more than likely going to go looking towards the $1650 level just below. To the upside, if we break above the $1750 level it opens up the move to the $1800 level, and then possibly even the $2000 level over the longer term. We are decidedly in an uptrend and there are a lot of things around the world to be concerned about, so it does make sense that we need to pay attention to how the risk appetite of the market is doing. There are plenty of reasons to think that we are going to struggle with risk appetite, and that does tend to add more bullish pressure to the gold market than anything else.