Comex Gold Futures (GC) Technical Analysis – October 8, 2014 Forecast

December Comex Gold futures followed through to the upside, following Monday’s closing price reversal bottom. Although this doesn’t mean the trend is getting ready to turn higher, it could trigger the start of a sizable retracement over the near-term.

The short-term range is $1224.00 to $1183.30. Holding above its pivot at $1203.60 will give the market a slight upside bias.

The first upside target is a long-term downtrending angle at $1221.50. This is followed by a series of minor tops at $1224.00, $1232.70 and $1237.00. Taking out all of these minor tops will likely trigger buy stops which could lead to a test of the next downtrending angle at $1240.30.

The main range is $1324.30 to $1183.30. If the short-covering is strong enough, it may trigger a retracement back to its retracement zone at $1253.75 to $1270.50.

A failure at $1203.60 will be the first sign that short-sellers have returned. This could trigger a test of the low for the week at $1183.30. Taking out the monthly chart bottom at $1182.30 could trigger an acceleration to the downside with no objective at this time.

The tone of the market today will likely be determined by trader reaction to the pivot at $1203.60.