We had a stagnant week, with geopolitical tensions easing and no critical economic data releases. In this environment, the Federal Reserve’s interest rate path is on the gold market’s agenda. Spot gold closed the week at $2,360, rising.
While bullish analysts are increasing, individuals are skeptical about the rise!
The latest Kitco Weekly Gold Survey found that industry experts are showing renewed optimism about the precious metal. However, only half of individual traders predict that gold prices will gain value next week. 17 Wall Street analysts voted in the Poll this week. Very few analysts predict that the gold price will fall. Ten experts (59%) expect gold prices to rise next week. Only two analysts, representing 12%, predict that prices will fall. Five experts (29%) predict that gold will follow a horizontal course.
Meanwhile, respondents cast 195 votes in Kitco’s online poll. Main Street investors were significantly more pessimistic on balance. 97 individual traders (50%) expect gold to rise next week. 56 people (29%) of those surveyed expect gold to follow a horizontal course next week. The remaining 42 people (21%) predict that gold will fall.
James Stanley: There is a positive picture for gold in the short term!
cryptokoin.comAs you follow from , gold has continued to gain strength in recent days. James Stanley, senior market strategist at Forex.com, sees a positive outlook for gold in the short term. “The bears have had ample opportunity to regain control of the trend,” Stanley said. But since the lows printed in the NFP report, the bulls have been coming back. “This week the falling wedge, which has a bullish flag-like appearance, has been seen to break, keeping the door open for continued strength next week.” says.
Adrian Day expects a neutral market
Adrian Day, Chairman of Adrian Day Asset Management, thinks the situation is quite balanced for the coming week. Day said, “Gold’s resistance was very strong. But I suspect we will see a pullback after another attack on $2,400. So I won’t change for next week.” says.
Adam Button: The upward trend of the gold price continues!
Adam Button, head of foreign exchange strategy at Forexlive.com, is concerned about Asian demand. However, he says that the upward trend continues. “Your story about slowing down of gold buying from China concerns me,” the analyst said. But it’s hard to argue with price action,” he says.
Alex Kuptsikevich: $2,640 as a growth target, but…
Alex Kuptsikevich, senior market analyst at FxPro, notes that gold has been periodically updating historical highs since February. The analyst sets the $2,640 (161.8% of the initial rally) area as the growth target. Kuptsikevich also warns that “high bond yields in developed countries, huge budget deficits in many countries and the need to support the economy, coupled with a further rise in the price of gold, suggest that the upside potential is limited.”
Colin Cieszynski: Expects a rise in gold price
“I am bullish on gold for next week,” said Colin Cieszynski, Chief Market Strategist at SIA Wealth Management. This is an interesting situation: If the US CPI comes in hot, gold becomes accepted as an inflation hedge. If the CPI comes in cold, interest rate cut speculations will probably increase. This is also likely to pressure the US Dollar. “This could be good for gold.” says.
Everett Millman: Gold could fall to these levels, but…
Gainesville Coins Chief Market Analyst Everett Millman says the gold market tracks systemic risks by measuring more than geopolitics and interest rates. He explains the reason for gold’s rise as the Bank of Japan’s big move to intervene in the yen and questions about the dollar’s role in international finance. Millman states that this situation enables large institutions to turn to gold as a safe haven. The analyst states that he still has difficulty trusting the price movement of gold. Millman, who finds it interesting that gold shows a base around $2,300, says that it would not be surprising if gold retests below $2,200 or $2,150 in the coming period.
According to Millman, depending on the Fed’s future steps, the gold price may tend to decline to $2,100. However, Millman says it’s unreasonable not to expect a lower long-term base for the shiny metal. However, he states that returning to record levels is a difficult resistance for gold. Finally, Millman notes that gold has the potential to rise to $2,400, 2,500 or even $2,600.
Darin Newsom expects gold price to fall again in June
Barchart.com Senior Market Analyst Darin Newsom looks at various time frames. The analyst shares the following assessment:
Last week, the June contract failed to reach its downside target of $2,268. Early on Friday, June extended its short-term rally and this move could extend into next week. This is where things get fun: If we apply the Goldilocks Principle, the weekly chart for June gold still shows a medium-term downtrend. Also, this rally appears to be Wave B (second wave) of the 3-wave pattern. Given this situation, I expect June to start declining again over time.
Bullish predictions from three analysts
“We maintain long precious metal positions,” said Mark Leibovit, publisher of VR Metals/Resource Letter. The gold target remained unchanged at $2,700. I hope it will happen within this year.” says.
“As long as we don’t leave a gap to the downside on Monday, it’s up,” says Michael Moor, founder of Moor Analytics. In this context, the analyst said, “We reached the point of exhaustion at $ 2,285.2 and $ 2,288.5. Additionally, we had a rally to $100.1. A move back above $2,302.0 (+1.6/hr) brought strength to $83.3. “The gap, which continues today, has left a modest bullish reversal warning of moderate strength that will likely last for days.” says.
Kitco Senior Analyst Jim Wyckoff says that gold prices will continue to strengthen next week. In this regard, the analyst says, “Stable-high as the bulls gain more technical strength this week.”
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