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7 Reasons Gold will continue to Grow (Updated) June 2021Hello Traders. Here is THE XAUUSD UPDATE YOUVE BEEN WAITING FOR! Here is my Previous Analysis on GOLD - The economic data, the stock market, and businesses' actual health are completely out of sync. That is because the U.S. stock market is still sitting near its record high while enterprises are consistently forced to close. With the new variant of coronavirus, chances are that lawmakers are likely to keep their guards up entering the first quarter of 2021 and that they can reinstate more lockdowns. Struggling businesses are more likely to file for more bankruptcies, and there are greater chances that it will create more shocks for the global economy. Such an event could once again help the gold price to move higher. Something that is surely going to influence the gold price is the trend in the dollar index, which is determined by the Federal Reserve's monetary policy stance. According to the most recent Federal Reserve meeting, it was clear that the Fed is more optimistic about the economic recovery, and this made them upgrade the growth forecast for the U.S. economy. As Mentioned Before in ( 23th January 2021 ) - I still Think the GOLD Price Will Reach All Time Highs in 2021 & 2022 Here Are the Reasons why I Say that - 7 Reasons Gold will continue to Grow Correlation to Inflation Certainly, during times of economic crisis, investors flock to gold . When the Great Recession hit, for example, gold prices rose. But gold was already rising until the beginning of 2008, That said, gold prices rose further, even as the economy recovered . Essentially that means, as more people buy gold , the price goes up, in line with demand. It also means there aren't any underlying "fundamentals" to the price of gold . If investors start flocking to gold , the price rises no matter what shape the economy is or what monetary policy might be. That doesn't mean that gold prices are completely random or the result of herd behavior. Some forces affect the supply of gold in the wider market, and gold is a worldwide commodity market, like oil or coffee . Supply Factors Unlike oil or coffee , however, gold isn't consumed. Almost all the gold ever mined is still around and more gold is being mined each day. If so, one would expect the price of gold to plummet over time, since there is more and more of it around. So, why doesn't it? Aside from the fact that the number of people who might want to buy it is constantly on the rise, jewelry and investment demand offer some clues. "It ends up in a drawer someplace." The gold in jewelry is effectively taken off the market for years at a time. Even though countries like India and China treat gold as a store of value, the people who buy it there don't regularly trade it (few pay for a washing machine by handing over a gold bracelet). Instead, jewelry demand tends to rise and fall with the price of gold . When prices are high, the demand for jewelry falls relative to investor demand. Central Banks Big market movers of gold prices are often central banks. In times when foreign exchange reserves are large, and the economy is humming along, a central bank will want to reduce the amount of gold it holds. That's because the gold is a dead asset—unlike bonds or even money in a deposit account, it generates no return. The problem for central banks is that this is precisely when the other investors out there aren't that interested in gold . Thus, a central bank is always on the wrong side of the trade, even though selling that gold is precisely what the bank is supposed to do. As a result, the price of gold falls. Central banks have tried to manage their gold sales in a cartel-like fashion, to avoid disrupting the market too much. Something called the Washington Agreement essentially states that the banks won't sell more than 400 metric tons in a year. It's not binding, as it's not a treaty; rather, it's more of a gentleman's agreement—but one that is in the interests of central banks, since unloading too much gold on the market at once would negatively affect their portfolios. ETFs Besides central banks, exchange-traded funds (ETFs)— which allow investors to buy into gold without buying mining stocks—are now major gold buyers and sellers. Both ETFs trade on the exchanges like stock and measure their holdings in ounces of gold . Still, these ETFs are designed to reflect the price of gold , not move it. Portfolio Considerations Speaking of portfolios, A good question for investors is what the rationale for buying gold is. As a hedge against inflation , it doesn't work well. However, seen as one piece of a larger portfolio, gold is a reasonable diversifier. It's simply important to recognize what it can and cannot do. In real terms, gold prices topped out in 1980, when the price of the metal hit nearly $2,000 per ounce (in 2014 dollars). Anyone who bought gold then has been losing money since. On the other hand, the investors who bought it in 1983 or 2005 would be happy selling now. It's also worth noting that the 'rules' of portfolio management apply to gold as well. The total number of gold ounces one holds should fluctuate with the price. If, for example, one wants 2% of the portfolio in gold , then it's necessary to sell when the price goes up and buy when it falls. Retaining Value One good thing about gold , is that the purchasing power of gold has stayed quite constant and largely unrelated to its current price. The Bottom Line If you're looking at gold prices, it's probably a good idea to look at Investing in GOLD Throughout Year 2021 I hope this was clear and informative for all of you, I wish you a good 2021! Stay Safe! Global Fx education
Editors' picks
OANDA:XAUUSD
by Global_Fx
73
What do you think about MINA? Looks goodAbout Mina Protocol Mina Protocol is on a mission to give users full protection of database without the need to give up a lot of control to third parties. As Mina suggest on its website, in our daily lives we give up a lot of control of intimate data to large tech companies that use our online services. Why do you think you get random popup advertisements on your phone that actually match something that you have said out loud, or something you were thinking of buying? However, even when people try to eliminate this exposure of data by participating in blockchains it is again inevitable not to include or trust third parties to verify transactions. Mina was created for this exact purpose. In June 2017, O(1) Labs kicked off an ambitious new open source project to design a layer one protocol that could deliver on the original promise of blockchain—true decentralization, scale and security. Rather than apply brute computing force, Mina offers an elegant solution using advanced cryptography and recursive zk-SNARKs. Mina finally launched its mainnet on March 23, where it can offer developers powerful applications like Snapps (SNARK-powered applications) to offer financial services without compromising data privacy and programmable money that anyone can access from their phones. And that’s just the beginning. The network uses the proof-of-stake consensus with the main difference being that users do not need to have expensive hardware or wait days for the blockchain to sync, or use a ton of computing power to stake and participate in it.
KRAKEN:MINAUSDLong
by FDGT_academy
1
Stock To WatchThe Market longer term uptrend still intact, many growth names remain choppy. I try to pick the best of the best. These names have shown good relative strength and accumulation volume and most are in the growth sector. This may give good risk/reward entries on some of the best names. Some of these charts still need to confirm their price action. This video is my watchlist. Most of these names are at or near all time highs or multi year highs. There are 21 total stocks on this list. I add an additional 4 stocks that are on my potential short squeeze watch list. I also add 5 names that should be on everyone's longer term watchlist. Many of these have IPO'd in the last few years and still have a growth story ahead of them. Know your time frame and risk tolerance. Know your earnings dates! I go through these quickly so grab a pencil and paper and jot down the names that look interesting to you and then make the trade your own. Good Luck!
Editors' picks
NASDAQ:COINLong
by Jtacher51
43
BITCOIN | Inside a Buying Area!Hi, At the moment, the price of Bitcoin trades inside a possible buying zone. Criteria are quite good and at least a short-term bounce should come from the current area. Considering long-term buyers then, we still might see lower prices so, be careful with that because 50% correction from the top can still happen ;) Criteria: 1. Equal waves of AB=CD 2. Channel projection 3. Resistance becomes support 4. Daily EMA200 (haven't touched it over a year) 5. Round number 40k 6. Fibonacci rejection 7. Inefficiency around the current price Target: 46-50k Stay healthy, Vaido
COINBASE:BTCUSDLong
by VaidoVeek
8
Soybeans - Short IdeaI see price has had a great run up, this is the 4H chart but the daily is speaking to me. Price has confirmed by a small pullback and now showing rejection at the 50-61.8% Fib levels, price showing an engulfing pattern at those levels. Soybeans is a touchy commodity, I would think.. like all commodities right now, more upside.. but certainly room for a relaxation of price here, 2:1 tucked in before hitting the 4H 200 EMA. Its a solid short setup... that is all we can do, take good setups and manage risk...rinse & repeat. 1% Risk.
OANDA:SOYBNUSDShort
by MattArmstrong
1
Stock To WatchThe Market has resumed its uptrend, but I still see growth names not fully participating. These names have shown good relative strength and accumulation volume and most are in the growth sector. This may give good risk/reward entries on some of the best names. Some of these charts still need to confirm their price action. This video is my watchlist. Most of these names are at or near all time highs or multi year highs. There are 27 total stocks on this list. I add an additional 7 stocks that are on my potential short squeeze watch list. Many of these have IPO'd in the last few years and still have a growth story ahead of them. Know your time frame and risk tolerance. Know your earnings dates! I go through these quickly so grab a pencil and paper and jot down the names that look interesting to you and then make the trade your own. Good Luck!
Editors' picks
NASDAQ:QQQLong
by Jtacher51
46
Coinbase goes to hit $1500IPO investing idea Coinbase, Inc. is an American cryptocurrency exchange platform that operates remote-first without an official physical headquarters. The reference price is $250, I suppose the price will rise much higher at 1 day and later. The market cap at $250 per share is $65bln. Why? Let's check some fundamentals. In 1Q2021 Coinbase reported the next estimated results: trading volume — $335bln volume sales — $1.8bln income — $760mln Also let's check all the market volume data: Volume MA30 in 2018: minimum was at 10bln per day, maximum -- 40bln per day Volume MA90 at 1APR21 was 300bln per day Maximum volume MA30 in 2021 was 360bln per day Volume MA90 at 1JAN21 was 150bln per day On 01.01.2020 volume MA365 was at 50 On 01.01.2021 volume MA365 was at 100 So, we have 4 scenarios of valuation 1) Pessimistic — the crypto hype will end in APR2021 If the hype ends, average volume will fall to 100bln per day at the end of 2021 (like in 2018 from 40bln to 10bln). And will be the same in 2022 and later. So, yearly sales will be at $1.8bln, yearly net income — $760mln. Using SPY P/E multiplier (42), we have market cap at 750mln*42 = $32bln, share price at $125. Using TSLA P/S multiplier (25), we have market cap at 1.8bnl*25 = $45bln, share price at $170. 2) Current market — the market condition will be stable On 01.01.2022 volume MA365 can be at 200 (like x2 from 2020 to 2021) It means: sales — $1.8bln*4*200/360 = 4bln income — $760mln*4/1.8= 1.7bln Using SPY P/E multiplier (42), we have market cap at 1.7bln*42 = $70bln, share price at $270 — almost as a reference price. Using TSLA P/S multiplier (25), we have market cap at 4bnl*25 = $120bln, share price at $385. 3) Optimistic — the crypto hype will continue Trading volume bill be 400bln per day sales — $8bln income — $3.4bln Using SPY P/E multiplier (42), we have market cap at 3.4bln*42 = $143bln, share price at $550 Using TSLA P/S multiplier (25), we have market cap at 8bnl*25 = $200bln, share price at $770. 4) TOTHEMOON scenario trading volume will twice every quarter in 2021. We have 300+600+900+1200/4 = 750bln per day sales — $8bln*750/400 = 15 income — $6.4bln Using SPY P/E multiplier (42), we have market cap at 6.4bln*42 = $270bln, share price at $1000 Using TSLA P/S multiplier (25), we have market cap at 15bnl*25 = $375bln, share price at $1500. So, a pessimistic scenario says it is better to wait for $125 and invest there. In optimistic scenario says it is better to send MOO today, and set 3 targets: 650 1000 1500 So do I :) Do not view this idea as a recommendation for trading or investing. It is published only to introduce my own vision. Always do your own analysis before making deals. When you use any materials, do not rely on blind trust. You should remember that isolated deals do not give systematic profit, so trade/invest using a developed strategy. If you like my content, you can subscribe to the news and receive my fresh ideas. Thanks for being with me!
NASDAQ:COINLong
by KozakHlib
15
Stocks To Watch This WeekThe Market seems like it is getting healthier, this week I expect the market to by choppy. These names have shown good relative strength and accumulation volume and most are in the growth sector. This may give good risk/reward entries on some of the best names. Some of these charts still need to confirm their price action. This video is my watchlist. Most of these names are at or near all time highs or multi year highs. There are 32 total stocks on this list. I add an additional 4 stocks that are on my potential short squeeze watch list. Many of these have IPO'd in the last few years and still have a growth story ahead of them. Know your time frame and risk tolerance. Know your earnings dates! I go through these quickly so grab a pencil and paper and jot down the names that look interesting to you and then make the trade your own. Good Luck!
NASDAQ:PUBMLong
by Jtacher51
6
REEFUSD +300% or even +1000%!As chart is showing elliot wave analysis the potential for +300% is really big and even +1000% is possible. *just elliot wave theory the real price can be different than shown on the chart - it's just for prediction purpose. And remember Technical Analysis has always truth but never completely. on the Fundamental side : -Solid project -DeFI project (very succesfull projects) -Gets liquidity from everywhere - both CEXS and DEXS -Powered by PolkaDot For me it's undervalued gem! ✋💎🤚
RLong
by bizmatej