Comex Gold Futures (GC) Technical Analysis – November 3, 2015 Forecast

December Comex Gold futures finished lower on Monday as investors continued to adjust to the possibility of a Fed rate hike in December. With the market trading near a key retracement zone, it still looks like traders are a little indecisive about how to play the market ahead of the U.S. Non-Farm Payrolls report on Friday. This could lead to a sideways, two-side trade over the next several days.

The main trend is down according to the daily swing chart.

The main range is $1103.80 to $1191.70. Its retracement zone is $1147.80 to $1137.40. The market is currently straddling the lower or Fibonacci level at $1137.40. Trader reaction to this level will likely determine the direction of the market today.

A sustained move under $1137.40 will signal the presence of sellers. This could trigger a break into an uptrending angle at $1125.80. If this angle fails then look for the selling to continue into the next angle at $1114.80. This is the last major angle before the $1103.80 main bottom.

A sustained move over $1137.40 will indicate the presence of buyers. The daily chart indicates that there is room to the upside with the next targets a resistance cluster at $1147.80 and an uptrending angle at $1151.10.

Since the trend is down, look for sellers to show up at $1147.80 if tested. The trigger point for a steep upside breakout is a downtrending angle at $1151.10.

Watch the price action and read the order flow at $1137.40. Trader reaction to this level will tell us whether the bulls or the bears are in control.