Gold Forecast – Gold Price Must Hold $1850 for Breakout

GOLD FUTURERS DAILY CHART: Gold futures are turning lower amid de-escalating tensions in Ukraine. The next 48-hours of trading are crucial. Below are key price levels to monitor.

On the Bullish side: If this is a backtest of Friday’s breakout, then prices should hold support around $1850, reverse higher, and then extend above $1900. That would support an immediate slingshot move to the upside.

On the Neutral side: If the recent move above $1850 was a failed breakout, then prices are likely to consolidate for another 1 to 3-months.

On the Bearish side: A sustained breakdown with progressive closes below the December $1750 low would signal continued weakness into mid-April, and the next intermediate-degree low (pink arrows).

I believe the odds favor a bullish to neutral outcome near-term. Our primary forecast for 2022 still anticipates gold prices approaching $3000 by year-end.

AG Thorson is a registered CMT and expert in technical analysis. He believes we are in the final stages of a global debt super-cycle. For regular updates, please visit here.