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CPM Trade Signal - July 28, 2022

Commentaries & Views

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Time Stamp

Prices as of 10:10a.m. EDT Comex 28 July 2022 $1,769.10 (Basis the October 2022 Comex Contract).

Recommendation: Buy

Initial Target Price / Range: $1,780

Initial Timeframe: 29 July 2022 to 5 August 2022


Gold prices went in the opposite direction of CPM Group’s previous trade recommendation, rising instead of falling as forecast. As mentioned in the previous reccomendatoin, there was a risk to prices declining given the already oversold conditions at that time. With no hawkish surprises from the Fed at yesterday’s Federal Open Market Committee meeting, news of a 0.9% contraction in U.S. gross domestic product for the second quarter of this year, and the break above some critical technical levels are all factors that have come together to boost gold prices. Prices could rise toward $1,780 in the short term. Gold prices are not completely out of the woods and there is potential for gold prices to soften going forward, but prices seem more likely to move higher before they move lower.

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 info@cpmgroup.com for details.


Notes:

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.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.