Gold Price Forecast October 24, 2017, Technical Analysis

Gold markets initially gapped lower, but then broke towards the $1275 level. We found a significant amount of support in that general vicinity, as anticipated due to the longer-term charts. I think that breaking higher from there is significant, but I also recognize that the volatility will continue. Precious metals in general started to pick … Continue reading Gold Price Forecast October 24, 2017, Technical Analysis · FX Empire

Christopher Lewis

Updated Mon, Oct 23, 2017, 11:44 PM

Gold markets initially gapped lower, but then broke towards the $1275 level. We found a significant amount of support in that general vicinity, as anticipated due to the longer-term charts. I think that breaking higher from there is significant, but I also recognize that the volatility will continue. Precious metals in general started to pick up a bit of momentum later in the day, suggesting that we are going to perhaps try to rally towards the $1290 level above. If we can break above there, we should then go to the $1300 level. Alternately, I think that if we make a fresh, new low then we will go looking towards the $1250 handle. This is a market that continues to be very difficult to navigate, so be careful with your position size, as it can cause massive swings in both your profit and loss when it comes to trading this market.

In fact, I believe that small position sizing in the CFD market or perhaps even options will be the best way to trade this market. I suspect that we will continue to struggle for clarity as the markets are essentially on “Fed watch”, meaning that every time there is a statement coming out of the Federal Reserve, it will move this market drastically. It’s not until we get clarity that people will be comfortable buying or selling. Quite frankly, clarity is not something that we’ve had a lot of as of late, and I think that’s going to continue to weigh upon this market. Longer-term traders are all but on the sidelines, as the volatility shows no signs of letting up, thereby making this a marketplace that you are probably best served to stay away from until impulsivity comes back in one direction or another.