Gold Price Futures (GC) Technical Analysis – January 19, 2018 Forecast

February Comex Gold futures are trading higher on Friday. The move is being supported by a stronger Euro and weaker U.S. Dollar. However, several technical factors are indicating the market may be losing upside momentum despite today’s rally.

Rollover to the April futures contract on Monday.

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 uptrend.

A trade through $1324.30 will signal the selling is getting stronger. It will also change the minor trend to down.

The short-term range is $1345.00 to $1324.30. Its 50% level or pivot is $1334.70. This price is controlling the short-term direction of the market.

The pivot at $1334.70 is very important to the short-term structure of the market. Aggressive counter-trend sellers are going to sell a rally into this level in an effort to form a secondary lower top. Trend traders are going to try to drive the market through the pivot in an effort to make $1324.30 a new main bottom.

On the downside, the first support is a long-term Fibonacci level at $1317.10, followed by the long-term 50% level at $1302.10.

Daily Technical Forecast

Based on the early price action the direction of gold the rest of the session will be determined by trader reaction to the pivot at $1334.70.

A sustained move over $1334.70 will indicate the presence of buyers. This could lead to a labored rally with potential resistance angles coming in at $1338.30, $1339.00 and $1342.00. A long-term resistance angle drops in at $1343.20. This is the last potential resistance angle before the $1345.00 main top.

A sustained move under $1334.70 will signal the presence of sellers. Crossing to the weak side of the downtrending Gann angle at $1333.00 will indicate the selling is getting stronger. This could trigger an acceleration into $1324.30, followed by $1317.10.