XAUUSD Gold Forecast and Technical Analysis Week Nov 13-17
Although the Gold finished the week in a positive territory, the market is mired in a narrow trading channel and needs something big to break out. A catalyst is needed.
Earlier in the week, gold prices managed to reach a three-week high, which was short-lived as upside momentum weaned on Friday. The market was hit with a major sell order as more than four million ounces were sold within a 15-minute period. After 11:10 a.m. on the Comex in New York almost 40,000 contracts, each representing 100 ounces of the metal, traded in a span of 10 minutes. That triggered a sell-off, sending prices down as much as 1.1 percent.
So we can say that was big sell order from a shorter-term oriented futures trader that caught the market off guard.
What I believe is that it is probably a small speculative play from a major fund and this type of move could be expected as funds square books ahead of the end of the fiscal year on Nov. 30.
The history of Gold paper trading is full of stories like this one.
So, what can trigger the Gold Prices? While gold remains stuck, there is some hope it continues to push to key resistance levels as the U.S. dollar remains sensitive to tax reform proposals slowly moving through the House and Senate.
XAUUSD Gold Forecast and Technical Analysis
XAUUSD and DXY both drop on Friday.
This movement confirms that the sharp drop in XAUUSD was a one of the classical " Fat Finger" case in Gold's paper trading history.
I must say that: Equity market strength will determine gold’s direction next week with the U.S. dollar defining the breadth of the move.It is difficult to say what will push gold out of its range but there is enough uncertainty to support prices.
My longterm prediction is clear and I am a Bull of Gold.
Short-Midterm:
1263 is the support and 1296 is the resistance. During next two weeks, we may continue to trade between support at $1,263 and resistance at $1,295.
1275 is the pivot level, and if Gold stays above 1275, 1283 and 1287 will be tested again.
We will receive inflation data, regional manufacturing data as well as housing construction numbers.
If the price breaks above 1296, 1308 will be tested. However; prices need to push above the October high of $1,308 to attract new investor interest and capital.
I will add LONG from the current level of 1275 with the target 1281 and 1287 for short term trading. Stop loss of this short-term trade will be 1261.
I am gonna publish the midterm trading strategy on our website.
Although the Gold finished the week in a positive territory, the market is mired in a narrow trading channel and needs something big to break out. A catalyst is needed.
Earlier in the week, gold prices managed to reach a three-week high, which was short-lived as upside momentum weaned on Friday. The market was hit with a major sell order as more than four million ounces were sold within a 15-minute period. After 11:10 a.m. on the Comex in New York almost 40,000 contracts, each representing 100 ounces of the metal, traded in a span of 10 minutes. That triggered a sell-off, sending prices down as much as 1.1 percent.
So we can say that was big sell order from a shorter-term oriented futures trader that caught the market off guard.
What I believe is that it is probably a small speculative play from a major fund and this type of move could be expected as funds square books ahead of the end of the fiscal year on Nov. 30.
The history of Gold paper trading is full of stories like this one.
So, what can trigger the Gold Prices? While gold remains stuck, there is some hope it continues to push to key resistance levels as the U.S. dollar remains sensitive to tax reform proposals slowly moving through the House and Senate.
XAUUSD Gold Forecast and Technical Analysis
XAUUSD and DXY both drop on Friday.
This movement confirms that the sharp drop in XAUUSD was a one of the classical " Fat Finger" case in Gold's paper trading history.
I must say that: Equity market strength will determine gold’s direction next week with the U.S. dollar defining the breadth of the move.It is difficult to say what will push gold out of its range but there is enough uncertainty to support prices.
My longterm prediction is clear and I am a Bull of Gold.
Short-Midterm:
1263 is the support and 1296 is the resistance. During next two weeks, we may continue to trade between support at $1,263 and resistance at $1,295.
1275 is the pivot level, and if Gold stays above 1275, 1283 and 1287 will be tested again.
We will receive inflation data, regional manufacturing data as well as housing construction numbers.
If the price breaks above 1296, 1308 will be tested. However; prices need to push above the October high of $1,308 to attract new investor interest and capital.
I will add LONG from the current level of 1275 with the target 1281 and 1287 for short term trading. Stop loss of this short-term trade will be 1261.
I am gonna publish the midterm trading strategy on our website.
