Gold Weekly Price Forecast – Gold markets pressing major resistance

Gold markets initially dipped during the week but turned around to show signs of strength as we formed three daily hammers. By the time Friday came around, the buyers came in and overwhelm the market, making a run towards the $1300 level. That’s an area that has been major resistance over the last month, and as I write this article we are still just shy of it. If we can break above the $1300 level, we will more than likely go looking towards the $1325 level, a scene of major selling.

Gold Technical Analysis Video 28.01.19

I think it is likely that we see a bit of pullback in the short term, as the market continues to see a lot of importance attached to the $1300 level, but I think the $1280 level underneath is very supportive. We are essentially trapped in this range, but clearly if this candle closes like this it shows that the buyers are starting to take over. At this point, I would have to favor the upside, but I also recognize that the $1325 level would be difficult to overcome. If we can get beyond there, then the market is going to go screaming to the upside. Breaking above the three previous candles is a very bullish sign and I do think that the wherewithal of the buyers would really pick up at that point.