Gold Price Forecast February 15, 2018, Technical Analysis

Gold markets had a very volatile over the last several days, with Wednesday being especially volatile. We broke down below the $1325 level to find plenty of buyers, and then explode towards the $1350 level. If we can break that level, then the market will go and challenge the $1400 level above, which for me is a barrier for a longer-term buy-and-hold type of move. Ultimately, I believe that the market participants will continue to favor the upside, and I believe that the $1325 level will offer a bit of a floor. If we were to break down below there, that would be very negative for the gold markets, but I believe that the US dollar weakness will continue. Ultimately, I think that once we break above the $1400 level, it will bring in a flood of volume, and send this market much higher. At that point, I would fully anticipate the gold could go as high as $1800 this year, perhaps even $2000. Obviously, volume would need to pick up, but I think it would be a significant enough to break out that the buyers will get a very aggressive.

If we broke down, I believe that the $1300 level underneath is the next support level, but it would be very difficult to break down below there. Either way, this is a market that continues to find plenty of reasons to go higher based upon currency headwinds and of course a struggling US dollar. The gold markets will continue to offer protection from the volatility that we have seen for some traders, and at this point I think there are far too many reasons that think that gold will rise.

Gold Price Forecast Video 15.02.18