December Comex Gold futures are trading higher shortly before the regular session opening. Profit-taking is pressuring the market lower due to reduced concerns over North Korean. Firmer equity markets and an intraday rebound in the U.S. Dollar is also helping to drive prices lower.
Technical Analysis
The main trend is up according to the daily swing chart. A trade through $1345.50 will indicate a resumption of the rally with the November 9, 2016 main top at $1353.00 the next major target.
The short-term range is $1302.30 to $1345.50. Its retracement zone at $1323.90 to $1318.80 is the primary downside target.
Forecast
Based on the current price at $1334.30 and the earlier price action, the direction of the gold market today is likely to be determined by trader reaction to the steep uptrending angle at $1337.30.
A sustained move over $1337.30 will signal the return of buyers. This could drive the market into $1345.50, followed by $1353.00.
A sustained move under $1337.30 will indicate the presence of sellers. This could drive gold into the short-term uptrending angle at $1326.30.
If $1326.30 fails as support then look for the selling to continue into the short-term retracement zone at