Gold Prices Hold Support
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
After Friday’s huge jobs number and the big rally in equities, markets are mixed this morning. Gold and silver held support, rallying this morning. Both look to be ready to break out to new highs once again as they look primed to start the next bull market.
Many are concerned about the strong dollar, which at these levels should have no effect on the price of gold. We know that there is a correlation between the dollar and the metals; however, both have rallied together for the past few months.
Our expectations are the dollar and the metals will continue to rally with the dollar going to par and gold to $1,350. The patterns in metals and the dollar are bullish, and we expect both to remain strong in bull markets. The last time the dollar was at par, gold was at $1,360. We expect a repeat of the same pattern.