After all, this is a market that continues to decline, especially at the 50-day EMA above. The gold market initially tried to move higher during Thursday’s trading, but has bounced back as we continue to see a lot of bullish activity and a lot of questions about the fixed income market. US GDP numbers came in slightly stronger than expected. Therefore, there was a little more volatility in the market because the US dollar was all over the place. Advertisement It’s a new week, are you ready for a new broker? Open an account with a top broker TRADE NOW At the same time, the European Central Bank has raised interest rates to 2% and, although this was expected, this is putting pressure on the euro and consequently the US dollar. After all, this is a market that continues to decline, especially at the 50-day EMA above. It creates a bit of dynamic resistance and in a way it’s a bit of a downtrend line. After that, we have a bearish trend above them, so overall it adds up to quite a bit of selling pressure. Seeing rallies as shorting opportunities If we break below the bottom of the candlestick to trade, I think we will probably try a double bottom just below. A break below this opens up the possibility of a move below the $1600 level and then the $1500 level, which is of course psychologically important and attracts a lot of attention in itself. While we do have occasional rallies, they have turned out to be nice shorting opportunities so far. I don’t think we are necessarily in any major trend changes and it is worth noting that the $1,680 level was previously supported, so it should now be resistance. There have been some moves in the market over the last few months where everyone was hoping that central banks around the world would raise interest rates, but one that has stood firm is the Federal Reserve and that has more of an impact on the market. if anything else. I will continue to reduce rallies when we have the opportunity, and I understand that volatility continues to be a big issue in this market, so I keep my positions smaller than usual in this type of environment.