Gold Price Outlook – Gold Trying to Stay Above $4400

Gold Technical Analysis

The gold market has rallied a bit during the early part of the Friday session as it looks like we are, in fact, trying to recapture that $4,400 region. This is a similar move to what we saw during the Tuesday session, so the question is, can we make this stick? I think from a longer-term perspective, yes, gold will continue to rise. I certainly don’t want to be short of it, and it takes very little in the way of imagination to perhaps suggest that we just retested the top of an ascending triangle, and it looks to be trying to hold as support.

A Bullish Technical and Fundamental Outlook

So, with that being the case, I remain bullish on gold not only from a technical analysis standpoint, but I also recognize that central banks around the world continue to buy gold, and of course, there are a lot of debt issues around the world. Geopolitics continue to push gold higher, and quite frankly, just momentum will. So, there are too many things working for gold in this environment for me to get short.

The question is, will it be time to get long again? I think a daily close above $4,400 would go a long way to supporting the market’s bullish behavior and bringing more traders in. Keep in mind that Friday will have been a fairly thin day, as most traders aren’t even at work, so you can only read so much into this. But Monday will really tell the tale, and I do think there’s a high probability that sooner or later we do see this market push higher, and therefore I remain somebody who’s looking at dips as potential buying opportunities.

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