Technical Analysis

Gold Futures Market Update, Technical Analysis

Key Updates For Gold Futures

Current Prices and Trends: Gold futures are currently trading around $2,364.75 per ounce. The market has experienced some volatility, with prices ranging between $2,358.30 and $2,369.00 in recent trading sessions​ (​.

Market Sentiment: Analysts note a bearish sentiment in the near term, with key support levels under threat. This outlook is driven by recent economic data and the Federal Reserve’s monetary policy stance​ (DailyFX)​​ (World Gold Council)​.

Future Projections: Despite short-term bearish trends, the medium-term outlook for gold remains bullish. J.P. Morgan predicts that gold prices will peak at $2,300 per ounce in 2025. This projection is based on expected rate cuts by the Federal Reserve, which are anticipated to start in the second half of 2024, leading to increased demand for gold as a safe-haven asset​ (J.P. Morgan | Official Website)​. If correct, there will be no upside from here with the yellow metal.

Influencing Factors: The market is closely watching economic indicators such as the U.S. GDP growth and inflation rates. Anticipated Fed rate cuts are a significant driver, as lower rates typically boost gold prices by reducing the opportunity cost of holding non-yielding assets like gold​ (J.P. Morgan | Official Website)​.

    Technical Analysis

    Possible Double Top

    Gold futures have made a double top on the daily chart, with RSI confirming with a lower high. There is still the potential for an ascending triangle to form, but the critical $2,286 level must hold.

    Gold futures (GC) daily chart with RSI and moving averages with possible double top formation


    Longs can be taken if price remains above $2,286.

    Shorts can be taken at the test of the double top with a target set at the 50 SMA.