Can gold lengthen its successful streak to seven weeks?

The specter of a commerce warfare, escalating geopolitical tensions, and simply the correct amount of uncertainty has been a great recipe for gold to surge greater because the flip of the 12 months. In January, the problem was about staying above the 100-day transferring common (pink line) however with Treasury yields falling now the main target turns in direction of a potential run to $three,000 subsequent.

We have moved previous the same old seasonal rush in December and January however even to start out February, gold ended up over 2% greater final week. The break of the October excessive means we’re as soon as once more scaling into unchartered territory right here.

It is a bull market that is been working away since October 2023. It does reasonably surreal at instances.

With the greenback discovering itself caught in between decrease yields and Trump’s tariffs not being as harsh, gold is discovering itself in a great place total. The tariff threats look to be extra of a negotiating software, stirring up simply the correct amount of uncertainty in a commerce warfare however not any fast main escalation.

The punters all have $three,000 locked in for gold sooner or later this 12 months. However as market gamers are shortly beginning to determine Trump out, we’d see gold hit that key mark sooner reasonably than later.

This text was written by Justin Low at www.ubaidahsan.com.



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