Gold Price Outlook – Gold Continues to Look Bullish Despite Pullback

Gold Technical Analysis

That being said, it is still obviously a very bullish market, and I really don’t see how you bet against it. But that doesn’t necessarily mean it goes straight up in the air forever. A pullback toward the $4,400 level would make perfect technical sense due to the fact that it is an area that previously had been resistant and should now see support. The size of the candlestick is something to pay attention to. It means something, but I think really what you need to pay a lot of attention to is the silver market because the chaos over there is starting to have an influence over here. I think this is something that could be a running battle for traders in gold.

Watching the Silver Market

With this, you have to be a little bit cautious and keep in mind that not only do you have the nonsense going on in the silver pits, but you have a lack of volume over the next couple of days hitting the market due to the New Year holiday. I do think eventually gold goes higher, and we could be talking about $5,000 an ounce before it’s all said and done. But that doesn’t mean we have to be there tomorrow. Looking at this chart, it remains very much buy on the dip, and I will be taking advantage of any bounce that we get in order to find value and buy cheap gold. But I also want to buy on the right-hand side of the V, in other words, after it bounces, and it shows a little upward momentum that I can join.

For a look at all of today’s economic events, check out our economic calendar.