Technical analysis of the gold markets
Gold did very little in the early hours of Thursday as we hovered around the 50 day EMA. Ultimately, the gold market is a market that will wait for the nonfarm payrolls announcement on Friday, and I think that’s a big part of what’s keeping a lot of markets from making any moves. The near-term pullback should continue to provide ample support, especially around the $2,500 level. But you might see an upward trend line here and there that the market will likely respect as well. After all, this is a measure that has been in force for some time and is therefore generally known.
On the upside, we have the $2,725 level as a short-term barrier, followed by the $2,800 level. Keep in mind that gold has a lot going for it right now, not the least of which is geopolitical concerns around the world. After all, the hot war in Ukraine is getting worse, not better. And of course the Middle East is still very unstable.