Gold Price Futures (GC) Technical Analysis – August 14, 2017 Forecast

December Comex Gold futures are trading mixed to slightly higher early Monday. The market is attracting some buying, but not enough to challenge last week’s two-month high. Investors are monitoring the situation between the United States and North Korea while soaking in Friday’s disappointing U.S. consumer inflation data which could reduce the chances for a Fed rate hike later this year.

Technical Analysis

The main trend is up according to the daily swing chart. Taking out last week’s high at $1298.10 could lead to a test of the main top at $1305.50. This is followed closely by another main top at $1307.00. The daily chart is wide open over this top with the next likely targets $1392.60 and $1396.00.

The major support is a retracement zone at $1269.40 to $1258.30. A trade through $1257.10 will change the main trend to down.

Forecast

The direction of the gold market today is likely to be determined by trader reaction to a pair of Gann angles at $1289.10 and $1286.30.

A sustained move over $1289.10 will indicate that buyers are still coming in to support the gold market. This could generate the upside momentum needed to challenge $1298.10 then $1305.50 to $1307.00. The launch level for a huge rally is $1307.00.

The inability to sustain a move over $1289.10 will signal that the buying is getting weaker. However, a move through $1286.30 will indicate the selling is getting stronger.

The daily chart opens up to the downside on a sustained move under $1286.30 with the next downside target coming in at $1282.50, followed by $1273.10.

Look for a bullish tone on a sustained move over $1289.10 and for a downside bias on a sustained move under $1286.30.