Gold Price Outlook – Gold Continues to Look for Direction

Gold Technical Analysis

The gold market has pulled back just a bit during the trading session here on Tuesday as we continue to go back and forth in consolidation. It does look like gold is a little bit exhausted and that does make sense. I mean, everybody has just piled into gold over the last couple of months and we have just seen the market go somewhat parabolic. That being said, I don’t necessarily think that the uptrend in gold is over. I just think we may need a little bit of a pause and a pullback in order to offer value. The $3,200 level is an area that I would be very interested in as it had been a previous swing high, but also, it’s a large, round, psychologically significant figure that a lot of people will be paying close attention to.

On the upside, we have the $3,500 level, which obviously will be important as it was swing high. And of course, it’s a large, round, psychologically significant figure as well. In general, I think this is a market that will sooner or later have to sort itself out. But in the short term, what I see is a market that is trying to work off some of that massive amount of inertia that came into the market. And now I think we are trying to carve out some type of new range, as gold does like to range for long periods of time. There are still plenty of geopolitical concerns out there, and of course, trade tariff concerns. So, I think that it all leads to gold at least holding its own in this general vicinity.

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