Gold Price Outlook – Gold Pulls Back after NFP

Gold Technical Analysis

The gold market initially did try to rally during the day here on Friday, but the jobs number coming out hotter than anticipated really got things turned around as the US dollar strengthened. A little bit more risk on behavior came into the market. But ultimately, we are in an area that I would expect to see a lot of noise and potential support. So, with that being said, I think you’ve got a situation where you’re looking for dips as potential buying opportunities.

I have no interest in shorting gold, but I do recognize that this could be a scenario where this could be all the way down to 3200 before we see any real massive sell off. If we break down below there, then we could go to the $3,000 level. To the upside the $3,500 level continues to be important. The $3,500 level is the swing high and if we can break above there the market is likely to continue to take off and go possibly as high as $3,800.

I do like gold. I have no interest in shorting it under any circumstance that I can see now, unless of course, who knows, maybe things will change. But right now, I like this as a market that we can find a little bit of value in and hang on for a longer term trade. I again have no interest in shorting the gold market anytime soon as it still is very strong overall.

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