CPM Group Trade Signal - August 22nd 2019
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Prices as of 10:30 a.m. EDT (15h30 GMT) 22 August 2019 $1,508.70 (Basis the December 2019 Comex Contract).
Target Price / Range: $1,490
Timeframe: 22-08-2019 to 30-08-2019
Gold prices are looking vunerable, with technically oriented traders testing $1,500 in the December contract and some of the recent bullishness seemingly dissipated.
There is added caution in advance of Fed Chairman Jerome Powell’s speech at Jackson Hole on Friday. Many market participants’ overall expectation seems to be that Chairman Powell is unlikely to suggest cutting rates aggressively, but instead will indicate the need and willingness to be flexible and lower rates as needed. This could create a short-term decline in prices providing an opportunity to re-purchase gold on a dip with the further expectation of higher prices in September and beyond.
Note: Discretion should be allowed at +/- $0.50 from the target.
Disclaimer – Past performance is no indication or guarantee of anticipated future profits, and neither Kitco Metals Inc. nor CPM Group can accept any liability or responsibility for any loss suffered as a result of gold price fluctuations. Gold as a commodity is not a specified investment for the purpose of giving advice under the Financial Services and Markets Act 2000. Therefore this trade recommendation does not give rise to rights to claim compensation under the Financial Services Compensation Scheme. CPM Group is a registered CTA with the U.S. NFA and CFTC. At times the principals and associates of CPM Group may have positions in the precious metals, commodity, and equities markets. CPM Group also manages investment and industrial positions in markets for its clients.