Gold May Be Priced At These Levels Next Week!

The underlying sentiment remains strong despite down nearly 3% this week. Gold futures are seeing their worst week since November, but sentiment remains strong as the price remains open support above $1,900 amid heightened uncertainty and volatility.

Level predictions for gold

before too cryptocoin.comThe latest results from the Kitco News Weekly Gold Survey, featured in , show broad-based bullish sentiment among Wall Street analysts and Main Street investors. Sean Lusk, co-director of commercial hedging with Walsh Trading, said gold will continue to be volatile across all financial markets, but still shines as an alternative asset. He added that he has seen gold prices rise above $2,000 in the near term. “There is uncertainty everywhere and the question remains where the funds will put their money,” Lusk said. Investors should buy the bottoms,” he said.

While Lusk is optimistic about gold in the near term, he added that he likes to play gold in the options market as the risks are defined. This week, 16 Wall Street analysts took part in Kitco News’ gold survey. Among respondents, nine analysts, or 56%, expect gold prices to rise next week. At the same time, four analysts, or 25%, were bearish for gold in the short term, and three analysts, or 19%, were neutral on prices.

Federal Reserve decisions matter

Meanwhile, 822 votes were cast in online Main Street polls. Of these, 560, or 68%, expect gold to rise next week. Another 147, or 18 percent, of voters said it was lower, while 115 voters, or 14 percent, remained neutral in the near term. Gold prices are trading at $1,928.90, down 2.8% from last Friday, with a bullish sentiment coming in. Phillip Streible, chief market strategist at Blue Line Futures, said he likes the idea of ​​buying gold on the dips. He added that he doubts the Federal Reserve will be able to implement its plan to raise interest rates seven times this year, adding that the Federal Reserve will remain dependent on data and the Fed will have to adjust if data does not improve.

The underlying sentiment came after the Federal Reserve raised interest rates by 25 basis points and laid out its plan for the remainder of the year. The Federal Reserve lowered its growth forecast and raised its inflation expectations for 2022. At the same time, it sees the potential for seven rate hikes. As the Federal Reserve enters a new tightening cycle, many analysts said real interest rates will remain in negative territory as inflation pressures rise steadily. However, some analysts looking beyond monetary policy have said that gold will be at the mercy of the tides of safe-haven demand in the near term.

The price of gold depends on Ukraine

Adrian Day, head of Asset Management, said that in the current environment he sees lower prices in the near-term, but the long-term uptrend remains. “What happens to gold next week largely depends on the action in the Ukrainian war,” Day said. “The war premium of gold will continue to fall, but the long-term trend in September will continue to depend on monetary factors,” the analyst said.

Some analysts point out that gold could consolidate further as investors adjust to higher prices. Colin Cieszynski, chief market strategist at SIA Wealth Management, said he sees gold in a holding pattern in the short term. “Gold has had a major rally and a major correction over the past few months and is perhaps settling in a range where it can pause to digest its recent moves between $1,920 to $1,980,” the strategist said.

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