Contributed Commentaries
CPM Trade Signal - October 9, 2023
Kitco Commentaries | Opinions, Ideas and Markets Talk
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Time Stamp
Prices as of 10:30 a.m. EST 9 October 2023 $1,864.05 (Basis the December 2023 Comex contract).
Recommendation: Sell
Initial Target Price / Range:$1,820
Initial Timeframe: 9 October 2023 to 23 October 2023
Gold prices fell to $1,823.55 on Friday 6 October, within 0.2% of CPM Group’s last sell trade recommendation target, following the U.S. jobs report for September. Gold prices rose higher alongside various assets following the initial price decline on Friday. While the report had some elements that could be considered supportive of gold prices, for the most part the U.S. job market is extremely strong, which does not bode well for gold in the short term. Gold prices rose further over the weekend following Hamas’ surprise attack on Israel. Prices have since been consolidating in a higher range. Issues in the Middle East are not expected to be resolved in the short-term, but the tensions from this weekend could deescalate. This coupled with healthy economic condition in the U.S. and any upside surprise on U.S. inflation data later this week could, push gold prices back down toward $1,820.
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 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.
CPM Group wants to thank the following companies for helping us make these short Trade Signals available free of charge, and for their commitment to providing good information in opaque and asymmetrical commodities markets.
Kitco
Metallic Minerals
Stillwater Critical Minerals
Granite Creek Copper
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