Gold Weekly Price Outlook – Gold Recovers for the Week

Gold Markets Weekly Technical Analysis

The gold market initially plunged during the trading week but has turned around to show signs of life again, as market participants are still going back and forth in what looks to be line consolidation. This does make a certain amount of sense as we have been straight up in the air for a couple of years. The market probably needs to take a little bit of a breather.

The market is currently looking at the area between $3,200 at the bottom and $3,500 at the top as an area of consolidation and if we can break above the $3,500 level then it’s likely that we will really start to take off to the upside. I do think that there’s probably more back and forth action here for a while as we try to sort out tariffs, which are still part of the headlines and of course geopolitical risk. Remember that gold is considered to be a safe asset, and it also sometimes does not always have a negative correlation with the US dollar.

So, we have a lot of things working for gold, but we have a lot of questions out there as to where things are going. So, in that environment, it makes things a little bit difficult to get overly aggressive in. And then on top of that, all of that really, we have summertime trading, which tends to be somewhat quiet. And here we are. So, while I remain bullish on gold overall, I recognize that it may take a while to break out of this range. I look at dips as potential buying opportunities.

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