Affiliate Disclosure
Affiliate Disclosure adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Gold Forecast: Markets Continue to Drift Lower

Ultimately, gold is expected to regain value, particularly if the economy falters, prompting traders to seek both the US dollar and gold to safeguard wealth.

  • Gold markets displayed an initial rally during Friday's trading session; however, hesitation emerged as the 50-day Exponential Moving Average (EMA) continued to exert its influence.
  • This has instilled caution in market participants, making it difficult to commit to buying gold at this stage. A break above the 50-day EMA would provide more conviction for potential buyers.
  • Conversely, the market appears to be attempting a correction after a significant upward surge. Notably, the $2100 region has served as a major resistance on multiple occasions in the past, suggesting a potential pullback may be necessary to gather momentum for a sustained move beyond that level.

Gold has attracted significant inflows as investors seek wealth preservation. While this trend is expected to continue, it may take some time for buyers to reenter the market and drive prices higher. Looking at potential support levels, the $1900 level, along with the $1950 level, appears significant. Additionally, the 200-day EMA, which lies just below the $1900 level, will be crucial in determining the overall trend. The market continues to witness buying interest, and given enough time, it is likely to exhibit considerable noise. Therefore, it is advisable to approach the market cautiously and refrain from entering large positions.

Gold is Expected to Gain Value

Ultimately, gold is expected to regain value, particularly if the economy falters, prompting traders to seek both the US dollar and gold to safeguard wealth. However, profit-taking has been a prominent factor, indicating a short-term "wait-and-see" approach may be necessary. A move below the 200-day EMA would be highly bearish for gold, potentially signaling the start of a bear market. However, as the current price levels are sufficiently distant from that point, such a scenario is not a prevailing concern at present.

TL;DR: gold markets are currently characterized by hesitation, resistance, and profit-taking. The influence of the 50-day EMA has made buyers cautious, while the $2100 region continues to pose significant resistance. The desire for wealth preservation remains intact, but a period of waiting may be required before buyers reenter the market with conviction. Key support levels at $1900 and $1950, along with the 200-day EMA, will guide the overall trend. While gold is expected to regain value over time, the market may experience significant noise, necessitating caution and avoiding large positions.


Ready to trade today’s Gold prediction? Here’s a list of some of the best XAU/USD brokers to check out.

Christopher Lewis
About Christopher Lewis

Christopher Lewis has been trading Forex for several years. He writes about Forex for many online publications, including his own site, aptly named The Trader Guy.


Most Visited Forex Broker Reviews