Any escalation of the Ukraine-Russia conflict to near nuclear conflict with the USA will result in spot gold rising to $4000 very quickly, with an outside chance of $5000.
On a monthly basis, it was an all-time high close, end of discussion. The pattern on a weekly chart is one of lower highs and a lower low, so you're still in a bit of a downtrend.
As you studied aficionados of deMeadville well know, we refer to those BEGOS Markets comprising Gold, Silver and Copper as “The Metals Triumvirate”. And lately, turbulent indeed has been its components’ price paths.
GDX’s technicals are quite-bullish. The gold stocks have not only weathered gold’s high consolidation this summer, but achieved major secular highs way outperforming their metal. That will help attract in more fund investors.
The FSB’s report is concerning, as the global regulator has essentially stated that the shadow banking industry is entirely untransparent and poses major risks to financial stability.
A gold price of $3000+ turns most of these companies into cash cows, and at $3800 gold, investors can expect to see the HUI, XAU, and GDX soar together… to glorious all-time highs!
With silver still trading at a steep discount to gold and technical indicators pointing to $35 as a new support level, analysts view a move toward and above $40 as increasingly likely.
