Gold Price Futures (GC) Technical Analysis – December 21, 2018 Forecast

Gold futures are trading slightly lower on Friday as buyers claw back some of the losses from earlier in the session. Stock market weakness is driving Treasury yields lower, which is helping to boost demand for gold. However, gains are being limited by the stronger U.S. Dollar. Trading conditions are thin today so be careful buying strength or selling weakness.

At 1403 GMT, February Comex gold is trading $1264.40, down $3.50 or -0.28%.

Daily Swing Chart Technical Analysis

The main trend is up according to the daily swing chart. A trade through $1270.30 will signal a resumption of the uptrend. The main trend will change to down on a move through $1236.50.

The minor trend is also up. A move through $1245.30 will change the minor trend to down. This will also shift momentum to the downside.

The short-term range is $1236.50 to $1270.30. Its 50% level or pivot at $1253.40 is new support.

The intermediate range is $1216.80 to $1270.30. Its retracement zone at $1243.60 to $1237.20 is the next target area.

The main range is $1202.40 to $1270.30. Its retracement zone at $1236.40 to $1228.30 is the primary downside target.

The best support area is the price cluster at $1237.20 to $1236.40. Also inside this zone is the main bottom at $1236.50.

Daily Swing Chart Technical Forecast

The market is trading inside yesterday’s range which tends to indicate investor indecision. A trade through $1270.30 will signal a resumption of the uptrend. If this move is able to create enough upside momentum then look for the rally to possibly extend into the July 9 top at $1284.10.

A sustained move under $1270.30 will indicate the presence of sellers. If the selling pressure increases then look for the weakness to possibly extend into the short-term pivot at $1253.40, followed by a potential support cluster at $1245.30 t $1243.60.