CPM Trade Signal - March 21, 2022
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Featuring views and opinions written by market professionals, not staff journalists.
Prices as of 11:42 a.m. EDT 21 March 2022 $1,935.00 (Basis the April 2022 Comex Contract).
Initial Target Price / Range: $1,950
Initial Timeframe: 21 March 2022 to 1 April 2022
Gold prices have backed off over the past several days. After rising roughly $300 to a record $2,078.80 on 8 March prices declined around $180 to $1,895.20 intraday before stabilizing at least temporarily. Prices bottomed out at this level on 16 March before beginning to climb again.
Charts and tecnicals suggest that there is a pennant pattern building. This suggests that after some further consolidation there is scope for prices to move sharply in either direction.
CPM’s expectation is that prices are more likely to break out to the upside rather than to the downside, although some movement toward a ceasefire in Ukraine could drop gold back to the late January lows around $1,780.
The current turmoil between Russia and Ukraine continues to provide volatitly to markets. The current financial, economic, and Russian-Ukrainian conflict continue to provide an impetus for higher prices.
CPM has one-month, three-month ranges and eight-quarter quarterly price projections with greater discussion of the factors behind CPM’s analyses provided in CPM’s monthly subscription service, the Precious Metals Advisory.
While short-term trade recommendations provide high risk – high reward opportunities for investors, it is difficult to capture the complex web of factors affecting precious metals prices and the nuanced CPM analyses of these factors that goes into our firm’s price projections. In addition to these short-term outlooks, CPM Group provides clients enhanced trade recommendations that include one and three month price projections, as part of our Retail Investor Program. Contact CPM at email@example.com for details.
Initial Target Prices and Timeframes are just that: Initial. If CPM does not issue a new Recommendation during or after that time it indicates that CPM is maintain the posture in the most recent Trade Recommendation.
Discretion should be allowed at +/- 0.20% of the price at the time each TR is issued from the target. Recommendations are valid until the target date or a new Trade Recommendation or message is issued by CPM.
CPM’s preferred investment strategies use physical, futures, forwards, and options.
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.