CPM Trade Signal - February 28, 2023
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Featuring views and opinions written by market professionals, not staff journalists.
Prices as of 9:35 a.m. EST 28 February 2023 $1,821.50 (Basis the April 2023 Comex contract).
Initial Target Price / Range: $1,800
Initial Timeframe: 28 February 2023 to 10 March 2023
The path of least resistance for gold prices is lower. A slew of stronger than expected economic data has been putting upward pressure on bond yields and the dollar, while weighing on precious metal prices. U.S. employment data for February will be released this Friday.
Based on jobless claims data over the course of February, it is possible that the labor market will have another strong showing this month. If unemployment data come in below expectations or if wage data come in stronger than expectations, gold prices could break below $1,800 with first support at $1,780. That said, ahead of the jobs report, gold prices are likely to find support at $1,800.
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 firstname.lastname@example.org 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.