Gold Price Futures (GC) Technical Analysis – January 16, 2018 Forecast

February Comex Gold futures are under pressure on Tuesday. A stronger U.S. Dollar is helping to encourage gold traders to take profits after a 22 session rally.

Daily Technical Analysis

The main trend is up according to the daily swing chart. A trade through $1345.00 will signal a resumption of the rally. If the move generates enough upside momentum, we could see an eventual test of the September 8 main top at $1365.80.

Today’s lower-high, lower-low makes $1345.00 a new minor top.

The main range is $1365.80 to $1238.30. Its retracement zone at $1317.10 to $1302.10 is the first support zone.

Daily Technical Forecast

Based on the early price action, the direction of the gold market the rest of the session will be determined by trader reaction to a long-term downtrending Gann angle at $1343.60 and the steep uptrending Gann angle at $1330.30.

Taking out and sustaining a rally over $1343.60 will signal the presence of buyers. This could trigger a breakout over $1345.00. If this move brings in the buyers then look for an eventual rally into $1365.80.

A move through $1330.30 will signal the presence of sellers. This is a possible trigger point for a sharp break into $1325.80 then $1317.10.

The small triangle chart pattern formed by the downtrending angle at $1343.60 and the uptrending angle at $1330.30 indicates investor indecision and impending volatility. Start preparing for a major move.