Gold at $2443: Next $2408 and Rebound to $2478..?
The strong breakout above $2368 has fuelled an ongoing bullish rally in gold which stands at striking distance from record high $2450.
Odds favor a smooth retest followed by a strong acceptance above the benchmark to establish a new and dynamic milestone which may initially come at $2488.
Given the chaotic regime changes across heavy weight governments as also upcoming US presidential polls, geo-political crisis, increasing bets on Fed's rate cut, it seems more likely than ever that all roads lead to safe haven which is gold by popular choice.
Another key reason is increasing gold lifting by global central banks, especially Chinese Central Bank.
Adding fuel to the fire, the de-dollarization campaign among Saudi Arabia, Iran and BRICS is making people concerned about safe haven credibility of the greenback, thereby making gold a preferred option.
These factors play significant role in painting an extremely bullish picture of future prospects for gold.
Mid term potential target $2520 does not sound an exaggeration.
Short term outlook is bullish whereas any correctional decline will be considered as value bargain.
A pullback towards $2422 or even a decline towards $2405 will be an opportunity to add longs.
On the flip side, a decline below $2390 and especially a day close below the zone will put brakes on the immediate bullish momentum.
Odds favor a smooth retest followed by a strong acceptance above the benchmark to establish a new and dynamic milestone which may initially come at $2488.
Given the chaotic regime changes across heavy weight governments as also upcoming US presidential polls, geo-political crisis, increasing bets on Fed's rate cut, it seems more likely than ever that all roads lead to safe haven which is gold by popular choice.
Another key reason is increasing gold lifting by global central banks, especially Chinese Central Bank.
Adding fuel to the fire, the de-dollarization campaign among Saudi Arabia, Iran and BRICS is making people concerned about safe haven credibility of the greenback, thereby making gold a preferred option.
These factors play significant role in painting an extremely bullish picture of future prospects for gold.
Mid term potential target $2520 does not sound an exaggeration.
Short term outlook is bullish whereas any correctional decline will be considered as value bargain.
A pullback towards $2422 or even a decline towards $2405 will be an opportunity to add longs.
On the flip side, a decline below $2390 and especially a day close below the zone will put brakes on the immediate bullish momentum.
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