Gold markets have rallied a bit during the course of the trading session on Friday, reaching towards the $1820 level. Remember, that is a level that I said need to be overcome in order to circuiting bullish. We did not do so, and in fact we have seen a massive amount of selling pressure just below there, and now we have formed a massive, inverted hammer. If we break down below the lows of both Friday and Thursday, this market could fall apart. At that point, I would anticipate that gold would probably go looking towards the $1750 level, especially if we continue to see a lot of “risk off” behavior.
Gold Price Predictions Video 29.11.21
That being said, you should also keep in the back of your mind that a lot of this negativity was done with almost no liquidity. After all, the Thanksgiving holiday on Thursday would have taken a lot of players out of the game, and that of course most traders are not bothered on Friday either. The Monday session will be crucial, to give us an idea as to where we may be going longer term. That being said, if we do break down, I am not hesitating to short this market as it would be a continuation of the bloodbath that we have seen over the last several days. To the upside, if we can take out the $1820 level, then I would simply look past this candlestick due to the lack of trading volume. All things being equal, this is a market that you need to be cautious with because it is about to get pretty wild.
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This article was originally posted on FX Empire
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