A look at the weekly charts for gold show that the commodity is about to experience a breakout to the upside. Prices are now hovering around the critical $1,350 resistance level that has kept gold value in range since 2014. Meanwhile, there has been a steady upward trend marked by the trend line on the chart.
This technical analysis suggests that the price of gold in 2018 may drop down to the $1,275 level in the next few months to around April or May. Afterwards, the uptrend will resume back to the $1,350 resistance level. If prices manage to close above this area for two or three consecutive weeks, then the breakout to the upside will be highly likely. Thereafter, the target price would be the $1,500 region. Although a more conservative prediction would be about $1,400.