4 Charts Show Gold May Be Heading Much Higher

IMG Auteur
Published : June 10th, 2017
629 words - Reading time : 1 - 2 minutes
( 0 vote, 0/5 )
Print article
  Article Comments Comment this article Rating All Articles  
0
Send
0
comment
Our Newsletter...
Category : Market Analysis

by Alex Rosenberg of CNBC

Gold just hit its highest level since election night, and some see more upside ahead for the precious metal.

Gold experienced “a textbook breakout from a symmetrical triangle or wedge,” Rich Ross, technical analyst with Evercore ISI, said Tuesday on CNBC’s “Power Lunch.”

“That’s quite bullish,” Ross added.

He also pointed out that gold’s 50-day moving average has broken above its 200-day moving average, which is commonly seen as a sign of accelerating momentum.

Meanwhile, on a longer-term chart of gold, Ross notes a “reverse head-and-shoulders bottom,” which is made up of a low, a lower low, and then a higher low. Technical analysts tend to see this as a bullish indicator.

The pattern’s predictive potential is further bolstered by the fact that the lower low came in December, which is also where gold found a bottom two years ago.

That’s some “nice bullish symmetry,” Ross said. “So in the short term, I like gold to move higher.”

Gold prices on Tuesday rose as high as $1,298.80 per troy ounce, eclipsing by about a dollar the prior 2017 highs seen in April. The commodity has been spurred by dropping long-term bond yields and a sinking U.S. currency value.

Matt Maley, equity strategist with Miller Tabak, also sees constructive signs on the gold charts.

He does warn that “we have to be a little careful, because we’ve made a series of higher highs and higher lows, and are now bumping up against April highs, so that could be a double top.”

“Sentiment and positioning hasn’t gotten extreme yet,” Maley added Tuesday on CNBC’s “Power Lunch.”

Net long positions among speculators are “nowhere near where they were last summer,” according to CFTC data, which could be seen as a sign that there is room for more investors to turn bullish.

“We’ve got a lot more room to run here,” Maley concluded. “I think $1,375 is a good target here.”

That would imply a 6 percent rise from Tuesday’s highs.

Full article on

News and Commentary

Gold in Pounds Rises to Seven-Week High on Hung U.K. Parliament (Bloomberg.com)

Sterling Falls Sharply On Hung Parliament In UK General Election (Investing.com)

Gold Imports by India Jump Fourfold as Tax Fear Spurred Stocking (Bloomberg.com)

Banco Popular faced eurozone’s first large-scale bank run – ECB (Reuters.com)

With gold mining activity nearing pre-boom levels, is this the end of the downturn? (ABC.net)

Source: Zero Hedge

Someone Just Dumped $4 Billion Of Gold Futures Ahead Of Comey Testimony (ZeroHedge.com)

40.5 Tonnes Of Paper Gold Dumped In 4 Minutes (InvestmentResearchDynamics.com)

The World’s Most And Least Peaceful Countries (Statista.com)

Spain’s Banco Popular Bailed In, Acquired By Santander For €1.00 (ZeroHedge.com)

India’s Tax Change Will Increase Gold Demand To 950 Tonnes By 2020 (Barrons.com)

Avoid Digital & ETF Gold – Key Gold Storage Must Haves

Gold Prices (LBMA AM)

09 Jun: USD 1,274.25, GBP 1,001.31 & EUR 1,139.18 per ounce
08 Jun: USD 1,284.80, GBP 992.12 & EUR 1,142.70 per ounce
07 Jun: USD 1,292.70, GBP 1,001.07 & EUR 1,146.62 per ounce
06 Jun: USD 1,287.85, GBP 997.31 & EUR 1,144.77 per ounce
05 Jun: USD 1,280.70, GBP 992.41 & EUR 1,136.88 per ounce
02 Jun: USD 1,260.95, GBP 980.39 & EUR 1,123.88 per ounce
01 Jun: USD 1,266.15, GBP 984.81 & EUR 1,128.01 per ounce

Silver Prices (LBMA)

09 Jun: USD 17.35, GBP 13.60 & EUR 15.52 per ounce
08 Jun: USD 17.60, GBP 13.60 & EUR 15.67 per ounce
07 Jun: USD 17.60, GBP 13.64 & EUR 15.71 per ounce
06 Jun: USD 17.56, GBP 13.61 & EUR 15.62 per ounce
05 Jun: USD 17.52, GBP 13.58 & EUR 15.59 per ounce
02 Jun: USD 17.19, GBP 13.37 & EUR 15.33 per ounce
01 Jun: USD 17.13, GBP 13.33 & EUR 15.26 per ounce

 

Data and Statistics for these countries : India | Spain | All
Gold and Silver Prices for these countries : India | Spain | All
<< Previous article
Rate : Average note :0 (0 vote)
>> Next article
Mark O'Byrne is executive and research director of www.GoldCore.com which he founded in 2003. GoldCore have become one of the leading gold brokers in the world and have over 4,000 clients in over 40 countries and with over $200 million in assets under management and storage.We offer mass affluent, HNW, UHNW and institutional investors including family offices, gold, silver, platinum and palladium bullion in London, Zurich, Singapore, Hong Kong, Dubai and Perth.
WebsiteSubscribe to his services
Comments closed
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
The Fed Is Confused about What Drives Inflation
12:21neville
Hi Frank, Thanks for your article.......The fact of the matter is that LIES LIKE EVERYTHING ELSE DRIVES INFLATION , which as it so happens is 'THE'...
What kind of person runs for public office ?
17 OctThemis
I liked the use of the self-actualization chart within the context of politicians and their motives. It probably applies to many in Hollywood as w...
The Silliness of the Bretton Woods Years
16 OctThe Recusant
KUDOS! The book is anti-gold slanted throughout and subtly mocks those that value gold as seen in that silly Las Vegas Golden Rooster tale. As I pr...
The Future (Not)
14 OctS W.-1
I have it on good authority that the Aliens living in Antarctica have discovered a way of turning Ice into Oil. All we have to do to secure ou...
Betrayal!
09 OctThemis1
I agree 100% with all the points you made. You have summarized my own anger and the reasons for it. My only consolation is that I believe the eli...
A silver price-suppression theory gets debunked
07 OctDoom
I think he linked the wrong article, because there's minimal facts and logic there relevant to price suppression. It's a shame, because I really wo...
Light It Up
07 OctThemis
I keep wondering whether the US is fermenting a war with North Korea so as to indirectly draw China in and delay implementation of the yuan-for-oil...
One Nation Under Gold (2017), by James Ledbetter
05 OctThe Recusant1
Sadly, I too hoped for a more even-handed assessment of gold in our economic history. The book IS biased and by the time I got to the 20th century ...
Most commented articlesFavoritesMore...
World PM Newsflow
ALL
GOLD
SILVER
PGM & DIAMONDS
OIL & GAS
OTHER METALS