Comex Gold Futures (GC) Technical Analysis – August 4, 2015 Forecast

December Comex Gold futures continue to consolidate inside the $1073.70 to $1104.90 range. The longer the market remains inside this range, the greater the volatility once it begins to breakout. Traders seem to be waiting for direction before making their next move. They may have to wait until Friday when the U.S. releases its latest non-farm payrolls report. This report should help us determine whether the Fed will begin raising rates in September or decide to wait until December.

The main trend is down according to the daily swing chart. The short-term range is $1073.70 to $1104.90. Its 50% level or pivot is at $1089.30. Trader reaction to this price will determine the short-term direction of the market.

On the downside, support angles come in at $1087.70, $1080.70 and $1077.20. The latter is the last major angle before the $1073.70 main bottom. A sustained move under the long-term downtrending angle at $1079.30 will indicate the presence of sellers.

Crossing to the bullish side of the pivot at $1089.30 will put the market in a strong position. The first upside target is a steep uptrending angle at $1101.70. The daily chart opens up to the upside over this angle with next target a minor top at $1104.90 and another steep uptrending angle at $1129.70.

The direction of the market today will be determined by trader reaction to the pivot at $1089.30.