Comex Gold Futures (GC) Technical Analysis – March 30, 2017 Forecast

June Comex Gold futures are under pressure on Thursday, pushed lower by the stronger U.S. Dollar and increased demand for higher risk assets like stocks. Underpinning prices and perhaps preventing a wash-out to the downside are concerns over Brexit, the French election and to some extent, President Trump’s inability to move forward with his economic policy plans.

Technical Analysis

The main trend is up according to the swing chart. A trade through $1264.20 will signal a resumption of the uptrend. This is likely to trigger an attempted breakout above the $1268.10 main top.  If buyers can take out $1268.10 with big volume behind them then gold has a shot at $1291.50 over the near-term.

A trade through $1243.70 will change the main trend to down.

The short-term range is $1243.70 to $1264.20. Its 50% level or pivot is $1254.00. This price is controlling the intraday direction of the market. Currently, gold is straddling this level. This means that traders haven’t decided which way they want to take the market yet.

The main range is $1198.00 to $1264.20. If there is a change in trend to down then $1231.10 to $1223.30 will become the primary downside target.

Forecast

Based on the current price at $1252.70, the direction of the market today is likely to be determined by trader reaction to the price cluster at $1254.00. This price is a combination of an uptrending angle and the pivot.

A sustained move over $1254.00 will signal the presence of buyers. This could drive gold into the price cluster at $1259.70 to $1260.70.

Overtaking $1260.70 will indicate the buying is getting stronger. Taking out $1264.20 and the main top at $1268.10 will mean the bullish traders are in control. This could lead to an acceleration into $1291.50.

A sustained move under $1254.00 will indicate the presence of sellers. The daily chart is wide open to the downside under this angle with $1243.70 the next target.

Taking out $1243.70 will turn the main trend to down and could generate enough downside momentum to challenge the 50% level at $1231.10, the uptrending angle at $1226.00 and the Fibonacci level at $1223.30.

Watch the price action and read the order flow at $1254.00. This price is the most important number on the board today.