Bullion’s relative strength index has topped 70 since Aug. 5, a signal to some investors who study technical charts that prices may be set to decline. Gold hugged its upper Bollinger band most of this month, which may signal possible resistance, while a moving average convergence/divergence indicator and Elliot Wave patterns suggest prices are overextended
Bullion climbed as high as $1,894.80 an ounce in London today and is up 16 percent in August, set for the best monthly gain since 1999. The metal has advanced as concern about debt crises and slower economic growth spurred investors to diversify holdings away from equities and some currencies. The biggest gold-backed exchange-traded product surpassed its equities counterpart as the largest by market value, while bullion rose to record prices in euros, British pounds and Swiss francs.
Analysts say this could help gold vault $2,000 an ounce within the coming weeks, with the potential for very large spikes if risk aversion on financial markets gains momentum.
I wouldn’t be surprised if we were to fail around $1,900 to $1,922 and retrace a little bit for a few days or so. It’s still very bullish longer term. Longer term, I think $2,000 will definitely be hit.”
Prices may slip to the Aug. 11 high of about $1,815 an ounce if gold stays below $1,925, which is near a 60-minute point-and-figure target, Rudolph said. The metal may move “sideways to up” if no decline takes place in the next couple of days,
Still, a weekly close above $1,900 an ounce may push prices to the “psychological” level of $2,000, near the 200 percent extension of the rally from January’s low to May’s high projected from the May low, one of the levels singled out in so- called Fibonacci analysis, he said. Fibonacci analysis is based on the theory that prices tend to drop or climb by certain percentages after reaching a high or low.
Gold price predictions August 23 2011, gold price, gold prices today, gold price per ounce, current gold price, spot gold price,gold futures price, future price of gold,Gold price outlook & Silver prices forecast August 23 2011, gold price in future, gold price future prediction, gold futures price chart For the latest updates PRESS CTR + D or visit Stock Market news Today
No comments:
Post a Comment