CPM Trade Signal - January 3, 2023
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Prices as of 10:43 a.m. EST 3 January 2023 $1,836.70 (Basis the February 2023 Comex contract).
Initial Target Price / Range: $1,865
Initial Timeframe: 3 January 2023 to 13 January 2023
Gold price have been rising overall since early November as the U.S. dollar retreated. Over the past couple of weeks prices have tried to top $1,850, but it was just today that prices surpassed this level, reaching $1,856.60 on an intraday basis before easing.
Not much has changed economically, politically, or financially going into the new year. Inflation continues to be moderating slower lower while still at high levels as central banks continue to raise interest rates, with the economic backdrops gradually slowing having shown unexpected strength in the second half of 2022.
On a technical basis gold prices are pointing toward higher prices. This said, it would not be surprising for there to be some profit-taking and pullback. Support levels should now be higher along with resistance levels. In addition to technical support there also is seasonal support for gold prices, which tends to perform well in the first quarter of the year.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 maintains the posture in the most recent Trade Recommendation.
Position may be closed out once target price is reached, within the noted discretion or until CPM provides new trade recommendation. CPM may have reported to have closed out of prior trade recommendation at its discretion before publicly publishing new trade recommendation due to processing time.
Discretion should be allowed at +/- 0.20% of the price at the time each TR is issued from the target.
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.