Gold Weekly Price Outlook – Gold Markets Have Another Bullish Week

Gold Markets Weekly Technical Analysis

The gold market has had another positive week as we continue to stretch, and we have broken above the crucial $3,000 level. That being said, this is a market that I think given enough time will continue to go much higher and we did just have a bullish flag break out with a potential move all the way to the $3,300 level.

The $3,300 level is a target for me over the longer term, but that doesn’t necessarily mean that we get there overnight. I think short-term pullbacks continue to be buying opportunities and you have to look at them as potential entries. The $3,000 level, of course, will have a certain amount of market memory attached to it. And I do think that you have a situation where traders will also look at the $2,900 level underneath as it’s basically the top of that bullish flag as support. I don’t really have a situation where I’m willing to start selling gold. I think gold is just far too strong at the moment to believe that market participants are suddenly going to shift their attitude.

Granted, we may have the occasional ugly pullback, but that ugly pullback in an environment where interest rates are definitely going lower around the world, with the exception of Germany, and debt is certainly going to become an issue, gold shines. Furthermore, we also have to worry about geopolitical issues and, of course, the fact that the US dollar itself is shrinking, and that tends to help gold as well. With all of this, I believe that gold is going to continue to be very noisy, but I think it’s going to be driven to the upside more than anything else.

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