Gold prices exceeded $ 1,800 and went up to $ 1,850 per ONS. Precious metal records its biggest weekly earnings since the beginning of the year. Analysts also expect the upward movement in the market to continue as they cite inflation fears and the weakness of the US dollar. Analysts aren’t even ignoring the $ 1,900 level next week for gold.
Blake Morrow: Gold prices will target $ 1,838 first
The gold price is trading above $ 1,830 at the time of writing. Popular market analyst Blake Morrow commented on the yellow metal’s recent price action. Gold will target the $ 1,838 level first, according to the analyst. Blake Morrow adds the following to his comments on the subject:
Gold broke the resistance at the $ 1,800 level and the risk is back to the 200 MA when above the $ 1,800 level. The double bottom pattern will target the $ 1,838 level first. However, as the daily RSI hardly buys the 200 DMA, and the 61.8% Fibonacci ratio at 1.855 seems like a reasonable target in the near term. Note that returning to the 1.756 level last week is a 38% “shallow” retracement that has helped this move in the near term.
Jason Teed: Recent developments will make yellow metal relatively more attractive to investors than bonds
Gold prices rose on Friday and recorded their highest close in almost three months after a closely watched one-month reading of US working conditions was far weaker than predicted. Jason Teed, co-portfolio manager of the Gold Bar Strategy Fund QGLDX, said non-farm payrolls in the US were “significantly below recent estimates” and gold prices “rose in response”.
The U.S. Department of Labor reported on Friday that the economy gained 266,000 jobs in April, far less than even the most suppressed estimate of this month, raising some questions about the strength and speed of recovery from the COVID outbreak. “The data has helped fuel some expectations that the Federal Reserve will continue to keep interest rates low for the time being,” Jason Teed said in a recent statement. This will make the metal relatively more attractive to investors than bonds. ” said.
Naeem Aslam: Weakness in dollar could increase gold prices
Naeem Aslam, chief market analyst at AvaTrade, made key comments on the market update and said:
After the job data, one thing is clear. The FED showed that loose monetary policy will not go anywhere anytime soon. The dollar index was weaker as these data went live, and we now know for sure that there are more weaknesses ahead for the dollar, which will tend to increase the prices of dollar-denominated commodities such as gold.
Dan Russo: Next for gold is $ 1,868 and $ 1,914!
Potomac Fund Management portfolio manager Dan Russo said gold futures, which closed at over $ 1,800 on Thursday, “are important to maintain the short-term uptrend.” Dan Russo said that on a technical trade basis, the two key price levels to watch in terms of “upside potential” are about $ 1,868 and $ 1,914 per ONS. According to Dan Russo, prices are likely to see “too much resistance to overcome” in the $ 1,900 to $ 1,950 range.
Jason Teed: Earlier than expected…
Commenting on the markets, Jason Teed said:
So the latest developments have been a big disappointment to satisfy the gold bulls, especially after closing above $ 1,800 with employment data. At the same time, the report will likely alleviate fears that the FED will back down from its easy monetary policy stance. Earlier than expected… The longer the market waits for the FED to remain accommodative, the longer copper prices will wind.