Gold Price Forecast January 10, 2018, Technical Analysis

Gold markets continued to drift a little bit lower during the trading session on Tuesday, as we have run out of steam. I think there is massive amounts of support near the $1300 level though, so it’s only a matter of time before the buyers get involved. If we were to break down below the $1300 level, it’s likely that the market could drift even lower. I like the idea of buying gold on short-term pullbacks, and I think that eventually we will see bullish pressure reaching to the upside. If we can break above the $1325 level, I think that the market is free to go to the $1350 above. I think that gold markets will continue to move in response to the US dollar and what it’s doing, and over the last couple of days it has strengthen, which of course is negative to gold traders.

I think that eventually we will reach to much higher levels, but gold markets have been noisy for months, and it’s likely that we will continue to see a grind higher, but it goes back and forth quite often, so add slowly and build for a larger move up from here. I don’t have any interest in shorting, at least not until we break down significantly below the $1300 level, and even then, I would have to reevaluate the entire situation. For now, I think that this market will see plenty of volatility, but ultimately, I believe that the so-called “smart money” is building a larger position to take advantage of what I think will be a longer-term move.

Price of Gold Video