Gold Weekly Price Outlook – Gold Continues to See Choppiness During The Week

Gold Markets Weekly Technical Analysis

The gold market has shown itself to be fairly positive during the course of the week, but it has given back about half the gains. We continue to see the $3,500 level as a major barrier, just as we see the $3,200 level as a major floor. With that being said, the market is likely to continue to see a lot of noise in this area. And one of two things I believe will happen. We will either get sideways action, which looking at the daily chart looks like the case, or we will get some type of significant pullback.

You’ll notice how I didn’t say anything about shorting the market because quite frankly, I just don’t think you can. But one thing is for sure, it does look like it’s in the process of forming some type of major resistance barrier above and therefore it’s going to be very difficult to continue higher without some type of significant effort.

There would have to be a fundamental reason for gold to suddenly take off. I don’t think we have it at this point, at least not yet, unless of course something gets worse over the weekend with tariffs. Short-term pullbacks are possible, and they do represent value in what I think is a longer term run. The $3,000 level is crucial underneath, and I think that’s basically where you determine whether or not you are still in a bullish phase. As long as you’re above that level, you have to be thinking to the upside, but right now, I think sideways is probably the healthiest reaction.

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