The gold markets have been going back and forth during the trading session on Thursday as we continue to see a lot of choppy behavior. Keep in mind that we are currently sitting on a marked trend line, so it should not be a huge surprise to see that we have stalled. Keep in mind that the market had sold out quite significantly just before this, so it makes sense that we take a break. In fact, I would expect us to have some sort of short-term recovery. That said, it is very likely that any rally at this point will simply be a sales opportunity.
Gold Price Predictions Video 26.11.21
50 days ma is currently trying to cross below 200 days ma so we could get the so-called incipient “death cross” formed, which of course is very bearish. Keep an eye on the US dollar in general, because if it continues to strengthen, it will counteract the very value of gold. It is not until we have cleared the $ 1820 level that I would be comfortable thinking about buying. If we break below the lowest levels of the Wednesday session, it is very likely that gold could move towards the $ 1760 level initially, heading down towards the $ 1725 level.
Honestly, unless the overall fundamentals of the US dollar change, I just can not see how gold will pick up speed or a major move. The recent sale has been pretty brutal, and these types of moves typically do not happen in a vacuum. I reckon Friday will probably be somewhat quiet, simply because most North American traders will be gone.
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