Gold markets have fluctuated back and forth over the past few days as events turned bullish on Wednesday. According to market analyst Christopher Lewis, however, we are still in a consolidation pattern. That’s why the analyst thinks we won’t see a big move in the short term. Christopher Lewis’ analysis of the gold market Cryptocoin. com for our readers.
“Gold price has a chance to look above the $1,900 level”
However, the analyst says that close attention should be paid to the $1,880 level because if we can get there, then we will continue to see a bullish trend in this market. Christopher Lewis continues his analysis:
That being the case, I like the idea of waiting for the explosion, because that means moving on. On the other hand, if we reverse a break below the $1,850 level, then it will show a complete failure.
Things get really ugly below the $1,835 level, but the 50-day EMA crosses just above the 200-day EMA, forming a “golden cross” that many people are paying attention to. The analyst notes that the gold markets are of course very noisy, so this should be borne in mind as volatility is something that the position size is kept relatively small. Christopher Lewis states that if volatile behavior continues, it means that the resulting rise will be relatively explosive.
Interest rates in America, of course, continue to have a huge impact on what happens next. Therefore, if interest rates continue to rise, this could cause some trouble for gold. But right now the market seems to ignore it. As long as that is the case, there is a chance for gold to look above the $1,900 level.
