Gold Price Futures (GC) Technical Analysis – February 19, 2019 Forecast
Worries over the slowing global economy and dovish central bank monetary policy concerns are helping to drive gold prices sharply higher on Tuesday. Gold doesn’t pay interest so when central banks talk dovish and suggest that interest rates will remain on hold, it tends to become a more attractive asset.
At 14:18 GMT, April Comex gold is trading $1336.60, up $14.50 or +1.09%.
Your capital is at risk
Daily Technical Analysis
The main trend is up according to the daily swing chart. The market is within striking distance of its June 14, 2018 main top at $1337.80. A trade through this level will signal a resumption of the uptrend. A trade through $1304.70 will change the main trend to down.
Daily Technical Forecast
Based on the current price action, the direction of the gold market the rest of the session is likely to be determined by trader reaction to a major downtrending Gann angle at $1337.70 and the main top at $1337.80.
The main top is a potential trigger point for an acceleration to the upside. The daily chart indicates there is plenty of room to the upside with the next target the May 11, 2018 main top at $1356.80.
On the downside, the nearest support angle comes in at $1328.70. Buyers could come in on a test of this angle. If it fails then look for the selling to possibly extend into the next uptrending Gann angle at $1316.70.
Watch the price action and read the order flow on a test of $1337.70 to $1337.80 the rest of the session. Trader reaction to this zone will set the tone for the rest of the session.