Gold Price Futures (GC) Technical Analysis – January 3, 2019 Forecast

Based on the early price action, the direction of the February Comex gold futures contract the rest of the session is likely to be determined by trader reaction to the 50% level at $1285.70 and the uptrending Gann angle at $1284.50. This angle, moving up at a rate of $4.00 per day, has been guiding the market higher since December 14.
James Hyerczyk
Comex Gold
Comex Gold

Gold futures are trading higher on Thursday. Earlier in the session, the market hit its highest level since June 20. However, since reaching a high at $1294.30, the market has given back most of its gains and is in a position to turn lower for the session. A lower close will form a closing price reversal top. This won’t change the trend to down, but it could trigger the start of a 2 to 3 day counter-trend correction.

At 1335 GMT, February Comex gold is trading $1287.30, up $3.20 or +0.25%.

Daily February Comex Gold

Daily Technical Analysis

The main trend is up according to the daily swing chart. However, the market is up 12 sessions from its last main bottom, putting it in the window of time for a potentially bearish closing price reversal top.

The market is currently trading inside a major retracement zone at $1285.70 to $1312.30. This zone appears to be providing resistance.

The short-term range is $1236.50 to $1294.30. Its 50% level or pivot at $1265.40 is the first downside target.

The intermediate range is $1216.80 to $1294.30. Its 50% level or pivot at $1255.60 is the next downside target.

Since the main trend is up, buyers could show up on a test of these pivots.

Daily Technical Forecast

Based on the early price action, the direction of the February Comex gold futures contract the rest of the session is likely to be determined by trader reaction to the 50% level at $1285.70 and the uptrending Gann angle at $1284.50. This angle, moving up at a rate of $4.00 per day, has been guiding the market higher since December 14.

Bullish Scenario

A sustained move over $1285.70 will indicate the presence of buyers. If this generates enough upside momentum, we could see a retest of $1294.30. Taking out this level will indicate the buying is getting stronger. This could trigger an acceleration to the upside.

Bearish Scenario

Taking out $1284.50 will signal the presence of sellers. This could trigger an acceleration to the downside. It could be a steep break because the first downside target comes in at $1265.40. This is followed by another uptrending Gann angle at $1260.50 and another 50% level at $1255.80.

Don't miss a thing!

Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Latest Articles

See All

Expand Your Knowledge

See All
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US