Gold Price Futures (GC) Technical Analysis – November 10, 2017 Forecast

December Comex Gold futures are trading lower shortly before the regular session opening. Traders are reacting to an overnight spike in U.S. Treasury yields and a rebound in the U.S. Dollar. The market is being underpinned by concerns over the possible delay in U.S. tax reform.

Prices could rally if a drop in Treasury yields, a weaker U.S. Dollar and another plunge in U.S. equity markets sends investors into the safety of the gold market.

Daily Technical Analysis

The main trend is down according to the daily swing chart. A trade through $1292.90 will change the main trend to up. If this move generates enough upside momentum then look for a possible surge into the next main top at $1308.40.

A trade through $1263.80 will signal a resumption of the downtrend with potential targets the October 6 bottom at $1262.80 and the August 8 bottom at $1257.10.

The main range is $1211.10 to $1362.40. Its retracement zone at $1286.80 to $1268.90 is currently being tested. Trader reaction to this zone will determine the longer-term direction of the market.

The short-term range is $1362.40 to $1262.80. If there is a change in trend then its retracement zone at $1312.60 to $1324.30 will become the primary upside target.

Daily Technical Forecast

Based on the current price at $1285.20 and the earlier price action, the direction of the gold market today is likely to be determined by trader reaction to the major 50% level at $1286.80.

A sustained move under $1286.80 will signal the presence of sellers. If the selling volume increases on the move, we could see a spike into the major Fibonacci level at $1268.90. This is followed by $1263.80, $1262.80 and $1257.10.

A sustained move over $1286.80 will indicate the presence of buyers. Taking out $1289.50 will make a new high for the week. This could lead to a test of the main top at $1292.90.

Overcoming $1292.90 will change the trend to up. If the buying volume increases on the move then look for a possible drive into the next main top at $1308.40, followed by a 50% level at $1312.60, another main top at $1317.10 and a Fibonacci level at $1324.30.

Volume is a concern today because of the U.S. bank holiday so be careful buying strength over $1286.80 and selling weakness under this level.