Gold Price Forecast January 5, 2018, Technical Analysis

Gold markets continue to chop around during the Thursday session, as we await the jobs number for the month of December in America. This has a massive influence on the greenback longer term, so I think that between now and the announcement could be a bit difficult to expect some type of massive move. However, the most important thing on this chart for me as the $1300 level, as it has been significant resistance in the past, and should now be support. I believe that the market should continue to be one that’s being able to be bought on dips, as the market should then go to the $1350 level next, via the $1325 level.

Remember, gold tends to be considered the “anti-dollar” and this being the case it’s likely that you will need to watch the US Dollar Index, and what happens after the announcement today. I think overall though, the US dollar looks very susceptible to downward pressure over the next several months, and therefore it adds a certain amount of bullish pressure in gold regardless. At this point, unless we broke down below the $1280 level, I think the overall uptrend is still very much intact, but there will also be volatile moves in both directions, giving you an opportunity to pick up value when it appears on the dips. Low leverage, or at least a small position, should continue to be the way to play this market, adding along the way.

Price of Gold Video 05.01.18