- As more people chase the so-called "FOMO trade" that gold has become, gold markets have rallied during Thursday's trading session.
- In this market, where most traders can lose their shirt, a little caution goes a long way.
As we continue to see a lot of upward pressure at this point, gold made a significant rally during the trading session here on Thursday early in the morning. Many doubts exist regarding our ability to sustain this momentum. And it appears that we will continue to be optimistic thus far. However, I also acknowledge that we are currently overdone. It's just a matter of time until we retreat. The question of whether it will be worthwhile to chase the market all the way up here needs to be considered, in my opinion, even though there are many people who are willing to do so. This is a great way to wreck an account if you are not careful.
I think it would be a good idea to buy it and then jump higher, hoping to find some kind of value, if we could pull back to anywhere around $2100 or maybe even $2,075. Based on a measured move, I currently see $2,175 as a possible resistance barrier, but nothing beyond that. Interest rates will have a big impact on the gold market, and since the jobs report is due on Friday, there's a good chance the bond markets will lose control, which will also have a big impact on gold.
Top Forex Brokers
Regardless, You Are Looking For Value Here
In any case, you are most likely searching for a swing low of some kind that you can exploit right now. It is impossible to follow a market that has increased by 6% in such a straight line, as gold has done. This is a significant move for the metal and only a few bars. If you have enough patience, I do believe you will be rewarded. The question is, do you have enough patience? If so, I believe you will have the chance to purchase gold at a significantly lower price than what is currently shown on the chart. In any case, it is clear that you cannot short this market at this time.
Ready to trade our Gold price forecast? We’ve made a list of the best Gold brokers worth trading with.