Gold this week extended its recent gains, supported by ongoing conflicts in the Middle East. However, higher bond yields continue to create headwinds for the precious metal. The yellow metal continued its rise entering the weekend and rose above $ 2,000. This shows that traders want to take long positions in case the geopolitical situation worsens while the markets are closed.
Bulls are ahead in the gold survey, but…
cryptokoin.comAs you follow from , gold has surpassed the $2,000 barrier with a recent move. The latest survey shows retail investors are still bullish on the precious metal for the week ending November 3 despite the recent price increase. The majority of market analysts are also bullish. However, a significant minority expects either a pullback or consolidation next week. 11 Wall Street analysts voted in the Gold Survey this week. Six experts (54%) expect gold to rise next week. Three analysts (27%) predict that prices will fall. The other two (18%) say they are neutral on gold for the coming week.
Meanwhile, participants cast 602 votes in online surveys. 395 of them (66%) think gold will rise next week. Another 126 (21%) expect gold to decline. The remaining 81 respondents (13%) remained neutral on the precious metal’s near-term prospects.
Colin Cieszynski: It’s going to be a big move!
Colin Cieszynski, Chief Market Strategist at SIA Wealth Management, remained neutral in the survey this week. The analyst is actually predicting that gold will make a big move. However, he’s not sure which direction yet. Meanwhile, Cieszynski expects a hawkish attitude at the Fed meeting next week. In this context, the analyst makes the following comment:
I don’t think they’re in a position to say they’re done raising interest rates. I think they will continue to wait and leave the door open to another interest rate hike in December. Because they predict another interest rate increase. I think today’s inflation number was benign enough that they don’t need to raise interest rates again. But at the same time, it wasn’t falling so fast that they could say we were done.
The analyst also notes that a hawkish stance would mean that the rise in treasury yields is almost over. He also states that this will actually be bullish for gold. On the other hand, “Maybe it could keep gold from falling too much.” says.
Michael Moor: Technical picture is on the rise
Michael Moor, creator of Moor Analytics, says the technical picture remains bullish even if markets see a moderate pullback. In this regard, the analyst draws attention to the following levels:
I warned about strength earlier and we left a moderate bullish reversal below. The trade above $1,940.9 predicts an upside minimum of $22 and a maximum of $130 (+). So far we have reached $68.3. Reasonable trades below $1,987.1 will reflect this downside minimum of $15, maximum of $57 (+). But if we break below here in a reasonable way and move up again in a reasonable way, continue to rise. Also, look for more macro projection higher.
Sean Lusk: It’s the Fed that’s holding the gold price back!
Sean Lusk, co-director of commercial hedging at Walsh Trading, says he wonders what will decisively pull gold prices out of their recent range. “I think yields are holding it back,” the analyst said. “Geopolitical tensions support gold and there is also the Fed.” says. Lusk believes it is the Fed that is truly holding gold back at these levels. In this regard, he makes the following statement:
We went up to $2,009 last Friday. The market then took a risk on the stock for a short period of time. This brought gold down to $1,960. However, we did not stay there for long. There is likely some psychological resistance at $2,000. Until now, there has been a lack of belief there.
Marc Chandler: Short-term direction uncertain
Bannockburn Global Forex Managing Director Marc Chandler is neutral on gold prices in the near term. However, he expects to see gold retreat towards support after its recent gains. Briefly summarizing the movements of gold, Chandler expresses his expectations as follows:
I don’t have a strong view for next week. On the one hand, I expect a softer US jobs report and perhaps lower US yields and possibly a softer dollar. This will be positive for the gold price. On the other hand, momentum indicators remain stretched, and if the war in the Middle East does not escalate, some of the late long positions may be cut.
Adrian Day: Gold is in a bit of a standby mode!
“It has fallen, but marginally,” says Adrian Day, Chairman of Adrian Day Asset Management. According to the analyst, gold is in a bit of a waiting mode. Day says it’s unlikely to rise any further at this point. However, he does not expect a sharp decline. According to the analyst, the situation in the Middle East and the turmoil in global bond markets prevent gold from rising.
James Stanley: It will fall because…
James Stanley, senior market strategist at Forex.com, expects gold prices to fall next week. The analyst explains this technically as follows:
There has been one doji on the weekly chart so far this week. This indicates indecision. Additionally, the price held lower. I think this test could even happen next week as spot gold prices remain below the $2k level and sellers have not fully gained control here. But I also think there are a lot of long-term investors who bought in October and may want to take profits soon. That’s one of the downsides of working with a breakout as strong as we’ve seen.
Jim Wyckoff: Gold charts remain bullish
Senior analyst Jim Wyckoff believes that gold prices may continue their upward trend next week. “It is rising steadily as the charts remain bullish and safe-haven demand is still evident,” says Wyckoff.
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