Gold Price Futures (GC) Technical Analysis – September 12, 2017 Forecast

A stronger U.S. Dollar and increased demand for higher risk assets are helping to pressure December Comex Gold futures on Tuesday. Traders may be reacting to rumors of peace in the Korean Peninsula and reduced concerns over the impact of Hurricane Irma on the economy.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through $1362.40 will signal a resumption of the uptrend with the September 22, 2016 top at $1363.80 the next likely target.

On the downside, a trade through $1302.30 will change the main trend to down.

The short-term range $1302.30 to $1362.40. Its retracement zone is $1332.40 to $1325.30.

The main range is $1281.30 to $1362.40. Its retracement zone is $1321.90 to $1312.30.

The combination of the two retracement zones forms a price cluster at $1325.30 to $1321.90. We could see a technical bounce on a test of this area.

Forecast

Based on the current price at $1329.50, the direction of the Gold market today will be determined by trader reaction to an uptrending angle at $1330.30.

A sustained move over $1330.30 will indicate the presence of buyers with the next target $1332.40. Overcoming this price could trigger a surge to the upside with the target angle coming in at $1346.40.

A sustained move under $1330.30 will signal the presence of sellers. The next target is a price cluster at $1325.30. Watch for a technical bounce on the first test of this area.

If $1325.30 fails then the next support will be $1321.90. This is the trigger point for an even steeper break into $1316.30.

Basically, look for a bullish tone to develop on a sustained move over $1332.40 and a bearish tone on a sustained move under $1325.30.