Gold Price Futures (GC) Technical Analysis – September 5, 2018 Forecast

Gold futures are trading slightly flat shortly after the regular session opening. The market is trading inside yesterday’s range, which suggests investor indecision and impending volatility.

At 1228 GMT, December Comex Gold futures are trading $1199.10, unchanged.

Daily Technical Analysis

The main trend is up according to the daily swing chart. However, momentum is trending lower. A trade through $1189.50 will change the main trend to down. A move through $1220.70 will signal a resumption of the uptrend.

The main range is $1244.70 to $1167.10. Its retracement zone at $1205.90 to $1215.10 is resistance. It is also controlling the near-term direction of the market.

The short-term range is $1167.10 to $1220.70. Its retracement zone at $1193.90 to $1187.60 is the primary downside target. Since the main trend is up, buyers could step in on a test of this area.

Daily Technical Forecast

If the selling pressure continues then look for a test of the support cluster at $1193.90 to $1193.10. Since the main trend is up, buyers could show up on the first test of this area so be prepared for a technical bounce.

If the uptrending Gann angle at $1193.10 fails as support then look for the selling to extend into the main bottom at $1189.50, followed by a Fibonacci level at $1187.60.

On the upside, the nearest target is the 50% level at $1205.90. Aggressive counter-trend sellers could come in on a test of this level. This is also a potential trigger point for an acceleration into a long-term downtrending Gann angle at $1213.70, followed closely by the main Fibonacci level at $1215.10.