Gold & Silver November Price Outlook: Technical & Fundamental Analysis & Predictions

Gold has reached its declining resistance line and the 61.8% fibonacci retracement level which have come into play at the same spot on the chart which can be seen as a bearish indicator. In my honest opinion, November will be a month full of choppiness and indecision due to the market digesting the fact that QE is here to stay. Also around the end of the month, the debt ceiling debate will be arising again which will also create a large amount of volatility. Let's see what others are saying for the month of November.

Gold: November 2013 Forecast
It is because of this that I suggest that perhaps buying physical gold will be the way to play it in the month of November. Taking the leverage out of the play can save you a lot of heartache. I see the $1400 level as being the beginning of significant resistance all the way to the $1450 level. It's going to take a significant amount of pressure to the upside to break through there. I would suspect, and based upon a lot of conversations I've had with friends of mine in New York, there are people out there currently accumulating gold positions waiting for the hammer to fall on the US dollar. Above the $1450 level, this market will just absolutely check out to the upside. As far as breaking down, I see so much support below, it's going to be very difficult to do so. My suspicion is that the month of November probably won't bring in much in the way of fireworks, but rather more accumulation.

Gold Very Strong In November
Gold was down 0.2% in October and after two weeks of consecutive gains, gold is headed for a 2% weekly drop. This has turned the short term technical picture negative once again. However, the months from November to February have seen strong gains in recent years, and this in conjunction, with the strong fundamentals should be positive for gold.

What The Charts Are Predicting For Gold
Summing up, the medium-term outlook for gold remains bearish and, at this time, the short-term outlook is bearish as well. It seems that the precious metals sector reversed direction this week right after moving to the declining resistance lines, which is being reflected in gold, silver, and mining stocks. From this point of view, it might be the case that the next major downleg has already begun and it seems likely that we will see at least a short-term downswing soon.

Will Gold & Silver See A Breakout?
Bulls are running wild when it comes to the metals. Everyone seems so convinced that the multiyear lows are in place. I have never heard so many people discussing an inverted head-and-shoulders pattern as much as I have been hearing it when it comes to gold. But, as we know, when most of the market sees and believes in one thing, that is rarely what transpires. So, does that mean I am immediately bearish on the metals? No, I truly cannot say that.

Gold Fundamental Analysis
Gold took a big tumble today, falling by $22.40 to trade at 1326.90 after inflation numbers from the US were below estimates and the Federal Reserve decided to hold rates and stimulus and continued their positive outlook on the economy even after the government shutdown. The dollar rose for a fourth day against the euro before U.S. data forecast to show jobless claims decreased, while the yen advanced after the Bank of Japan left monetary policy unchanged. The greenback was still set for monthly declines against most major peers as concern the partial U.S. government shutdown will affect the economy underpins a Federal Reserve decision to keep buying $85 billion of bonds a month. The BOJ maintained a pledge to expand its monetary base.