The gold market is preparing to close the year in a relatively neutral area, as prices hold the line $ 1,800. Analysts predict that prices will rise significantly throughout the year and until 2024. So they expect an interesting and exciting 2023 for the gold price.
“I’m waiting for $ 2,100 in the next rally”
Elliottwavetrader.net’s founder Avi Gilburt says gold is preparing to rise after two years of consolidation. Gilburt predicts that gold prices will be firmly over $ 2,000. In this context, Gilburt makes the following statement:
If you don’t have anything to say, then don’t say anything. This has happened for gold. I am waiting for my time and waiting for $ 2,100 in the next rally.
A long -term view for gold price perspective
When we look at the long -term technical picture of gold, Gilburt says that he is watching a five wavy rally going to the lowest levels of 2015. He explains his views on this subject as follows:
In August 2020, we reached the top of the third wave. From then, we had a two -year consolidation in the fourth wave until the beginning of November this year. Now we are preparing to make a higher rocket in the fifth wave.
Gilburt says traditionally the fifth wave is quite strong. He also adds that prices have the potential to be paraboolic. Burma The next retreat will probably be a purchase opportunity, Gil says Gilburt.
Two important reverse winds for gold price
Kriptokoin.comAs you have followed, precious metal spent a very disappointing year while having difficulty in attracting the attention of investors. After that, the weather is rising significantly when entering the new year. According to some analysts, investors under 2022 were disappointed because it did not fulfill the promise of gold inflation protection.
In the year we are preparing to leave behind, US consumer prices have reached its highest level for more than 40 years. However, due to the threat of inflation, the US Central Bank had to increase its interest rates by 425 basis points. In addition, this was the most aggressive policy stance of 41 years. Rising US interest rates raised real bond returns. Thus, the US dollar increased to the highest level of 20 years. Therefore, this was two important reverse winds for the price of gold.
Individual investors are waiting for the north of $ 2,000 for gold price
However, the markets see that the federal reserve’s tightening cycle is over. Therefore, these reverse winds gradually begin to decrease. Analysts predict that the FED fund rate will reach the summit slightly above 5 %in the first half of 2023. At the end of the tunnel, the gold market re -attracted attention because the light appeared. Meanwhile, Gold saw an impressive rally in the last quarter of 2022. With this move, the price of gold increased by 11 %from the lowest level of two years to $ 1,800.
The rise of gold creates a new bull tendency among individual investors. Last week, Kitco organized the annual view survey, asking readers where they thought about where gold prices would end in 2023. According to the results, individual investors expect gold prices to exceed $ 2,000 and see new record levels.
Last week, 1,213 people voted at Kitco’s online view survey. The average price target among the participants was $ 2,279. On the decline side, only 111, ie 9 %of the respondents, gold prices will fall below $ 1,800 next year, he said. Individual investors expect rise further below most Wall Street analysts and financial institutions.
“There will be more than one pressure that pushes the gold”
Bank of America (Bofa) is one of the most believing in the rise of gold. The bank estimates that the yellow metal in 2023 will rise to $ 2,000 next year. “When the Fed stops raising interest rates, it will probably be a good market for the price of gold, B
However, most analysts are relatively neutral about precious metal. In this respect, they expect an average price of $ 1,850 annually. Analysts say that the first half of 2023 will probably be a challenging environment for precious metal, as it will continue to increase the FED interest rates. Most banks think that gold will be seriously recovering in the second half of the year. Mark Francis, Senior Consultant of Canadian Stock Exchange Exchange, commens:
In 2023, there will be more than one pressure that pushes the gold up. Either lower inflation with lower interest rates and the ongoing global geopolitical turmoil with a strong increase in the Grotesque US government deficits will reduce the cost of opportunities for the ongoing inflation. I’m guessing that gold prices will rise to $ 2,224 by the end of the year.