Gold price rallied towards July and August tops to complete five-month base. It also broke out of the downtrend in August 2020 and surpassed the key resistance at $1,834. According to experts, the gold / US dollar pair may be preparing for the start of a more significant rise. But strategists at Credit Suisse are worried that gold’s strength could quickly fade if inflation expectations peak. Cryptocoin. com
As , we share the gold predictions of the strategists of the famous bankā¦
Credit Suisse: First support for gold price is seen at $ 1,834
Analysts of the famous Swiss bank Credit Suisse see $ 1,834 as the first support below, which changed hands at $ 1,863 at the time of writing. According to analysts, gold could be at the beginning of a more significant transformation after completing a top level. Therefore, initially, attention is drawn to the June high of $ 1,917 and analysts expect a move towards this area. Bank analysts say the possibility of a more significant move beyond here could strengthen. After this strengthening, the next resistance could be at $1,959 and $1,977 and eventually record highs of $2,075 could be seen. Experts use the following expressions:
Support is initially seen at $1,834, then $1,814. The main situation we draw attention to is that we are close to a peak in inflation expectations. If that proves true, real yields could soon find a bottom around -1.25%/1.26% and rise again. If our view is correct, a meaningful XAU/USD rally could be difficult unless there are signs of a broad ‘hedging’ phase in the market.
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