Gold Price: Trend Changes to Down on Trade Through $1884.30

Gold Price Futures: Gold futures are trading flat early Thursday after posting a modest gain the previous session. Despite hitting a five-month high earlier in the week, the trade has been lackluster with some of the major players sitting on the sidelines ahead of Friday’s U.S. Non-Farm Payrolls report.

Gold Price Futures Today

Nonetheless, there are major reports on Thursday that could move gold prices. They include ADP Non-Farm Employment Change, Weekly Unemployment Change and ISM Services PMI. Stable U.S. Treasury yields and a sideways U.S. Dollar Index are also helping to hold gold prices in a range this week.

Daily Swing Chart Technical Analysis
The main trend is up according to the daily swing chart. A trade through $1919.20 will signal a resumption of the uptrend. A move through $1884.30 will change the main trend to down. The long-term range is $2120.00 to $1678.40. The market is currently trading inside its retracement zone at $1899.20 to $1951.30.

The minor range is $1854.40 to $1919.20. Its 50% level at $1886.80 is potential support. The short-term range is $1810.70 to $1919.20. Its 50% level at $1865.00 is additional support. Additional support levels come in at $1838.00, $1822.40 and $1799.30.

Daily Swing Chart Gold Price Technical Forecast
The direction of the August Comex gold futures contract on Thursday is likely to be determined by trader reaction to the long-term 50% level at $1899.20.

Bearish Scenario
A sustained move under $1899.20 will signal the presence of sellers. This could trigger a quick break into $1886.80 to $1884.30. If this fails as support then $1865.00 and $1854.40 will become potential downside targets.

Bullish Scenario
A sustained move over $1899.20 will indicate the presence of buyers. If this move is able to generate enough upside momentum then look for the rally to possibly extend into this week’s high at $1919.20. This is a potential trigger point for an acceleration to the upside with the main Fibonacci level at $1951.30 the next likely target.

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