Gold Weekly Price Outlook – Gold Has Another Positive Week

Gold Markets Weekly Technical Analysis

The gold market has rallied a bit during the previous week, as it looks like we are doing everything we can to get to the $3,500 level. That being said, it’s worth noting that gold has a massive amount of resistance there and we could make an argument that perhaps the volume being a little bit thinner than usual could be a bit of a problem. All things being equal, this is a market that I like the idea of buying on a breakout, but I do recognize that the occasional pullback is almost certainly going to be a fact of life. The volume should pick up sometime in September as per usual.

So, we are getting closer to getting out of the summer trading season when things are a little quieter. But when you look at the chart from a longer term perspective, it’s pretty easy to see that we have an ascending triangle. The ascending triangle, of course, is a very bullish sign once it gets broken to the upside. Even if we were to break it down below the uptrend line of the descending triangle, that could open up a move to the $3,300 level, possibly even $3,200, where I think you would see significant support there as well. We’ve been in an uptrend for two to two and a half years, so at this point, I’m not looking to fight the trend. And once we get that breakout, I suspect we will go to $3,800 rather quickly.

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