TEHRAN (Iran News) – Gold markets had a tough week, price breaking down below the $1800 level as the “risk-on” trade came back into vogue. That being said, we are testing the 50 week EMA and getting close to an area that should offer support due to the previous resistance that we had seen right around the $1750 level. Furthermore, we are getting close to the 38.2% Fibonacci retracement level so that of course could come into play as well. That all comes together for potential support, so I will be paying close attention to the next weekly candlestick as it could show a continuation of the overall trend. Until then, I would be a bit hesitant to short though, because we are getting close to a significant amount of noise in the chart.
“Gold Weekly Price Forecast – Gold Markets Have Tough Week”
Furthermore, if we get some type of big move against the US dollar, that could have gold turning around as well. With that being the case, I think that a simple amount of patience may be what it is that this market calls for. After all, central banks around the world will continue to throw liquidity at the markets, so I do think it is only a matter of time before gold comes back into play. I have no interest in shorting the market, we are clearly in a major uptrend and there is no point in trying to fight that. As the US Dollar Index is struggling at the 92 levels to find support, it is possible that we can see some type of bigger move, so keep that in the back of your mind as well.
- source : FXEMPIRE