Gold: A setup at support
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
In my last piece, I showed a trendline for where I thought gold would likely find support; today, gold is bouncing strongly off that same line - shown in an updated daily chart below. With momentum turning up, traders can pick a spot to enter on the long side to ride this bounce to $1990, perhaps all the way to $2010. For stackers who are dollar-cost averaging – this may be a spot to add.
The question is whether gold has the wings to go on a run past all-time highs into unknown territory before the price makes another lower low. Will we see a test of the notorious $1850 level first? In my opinion, traders should beware of a downside breach of that trend line around $1930.
S&P futures have now reached into the yellow box; regular readers probably aren’t surprised. I still believe the price will stretch to the top of the box. Can stocks get back to all-time highs in 2023? The answer is yes, but I have yet to judge that probability.
Finally, here is an update on the 4-hour Bitcoin chart I last showed. The bitcoin price is following the channel I had presented, updated below. An upside breakout would likely take the price back to 31k and then higher, in my opinion.
Thanks, and good luck,