According to the latest results of the Kitco News Weekly Gold Survey, the gold market continues to see a strong upward momentum, and this time the momentum comes from investors escaping high volatility in cryptocurrencies. In the previous survey, analysts had expected gold prices to regain the 200-day moving average at $ 1,850 per ONS. This week, both individual investors and Wall Street analysts continue to rise above gold prices as the price continues to climb to its next target of $ 1,900 per ONS.
Veteran analysts expect more bullishness for gold prices next week!
“The tide has changed and people are returning to gold with the help of the latest crypto techniques and Washington’s never-ending spending plans,” said Adrian Day, head of Adrian Day Asset Management, adding that gold will rise further in the next step. This week, 15 analysts took part in Kitco News‘ gold survey. Of these, 11 analysts, or 73%, said they were bullish on gold. At the same time, three analysts, ie 20%, said prices will drop next week. An analyst, that is, 7%, said that gold prices will be traded horizontally.
Meanwhile, a total of 1,037 votes were cast in the online Main Street polls. 716 participants or 69% of them said that gold will increase next week. While the other 154 participants or 15% expected lower levels, 167 voters or 16% were neutral. While the gold market closed the week with a gain of about 2%, a bullish feeling came when prices managed to hold the critical support above $ 1,850. Forexlive.com’s chief currency strategist Adam Button drew attention to the strong momentum of gold in the face of renewed strength in bond yields. Adam Button said the following on the subject:
Market reactions to the US CPI report and the contraction speeches in the FED Minutes explained everything. There were some major hiccups, but they did nothing to derail the dollar’s weakness and gold power trend. This is a great sign of the underlying demand for gold.
Marc Chandler: $ 1,900 per next major ONS to watch
Colin Cieszynski, chief market strategist at SIA Wealth Management, said he expects gold to continue to benefit from investors drifting away from cryptocurrencies. Colin Cieszynski added that the drawing did not show that the precious metal was over-bought. Marc Chandler, managing director of Bannockburn Global Forex, said he did not see an overstretched market, even as the momentum indicators began to solidify. Marc Chandler added the following to his comments on the subject:
Weekly momentum indicators are moving upwards, showing that any short-term retracement is a buying opportunity. The next major level to watch is $ 1,900 per ONS.