Gold Testing New Highs!

3 thg 4, 2023

Gold has been on a tear since the March lows, where we saw a bit of a double bottom, and have rallied out above the significant resistance level near 2000-2003. As we’re seeing Crude oil rip higher here today up over $4, there could be implications with the FED and their assumed rate hikes, and after this move in Crude, the probability of a 25 basis point rate hike rose from 48.4% to 58.3%. Another development to keep an eye on is the dollar testing a major support level going back to February of 2022, and a break below here could be a strong catalyst for Gold and the other precious metals to move higher. If you are bullish on Gold, look for the market to take out the recent high near 2014-2016 on a closing basis, and on the support side keep an eye on the 1939.2 level to potentially look to scale into the market on a pullback.