While I don’t necessarily think that any damage that Jerome Powell does to gold is permanent, it could cause a little bit of aQuite frankly, I look at that pullback as a potential buying opportunity, especially if we can get down to the $1880 level.
After that, I get even more aggressive near the $1850 level, where I find even more value. This is especially true asLooking at this gold chart, it’s likely that we will continue to see buyers on dips, but if we were to break down below the 50-Day EMA, then it’s very possible that we could go looking to the $1800 level.
The $1800 level has a lot of psychology attached to it, but it is also structurally important going back several years. We have been in the range for very long time, and the top of that range is closer to the $2000 level. It is because of this that I believe eventually we will get to that area. Whether or not it’s anytime soon remains to be seen, but regardless of it seems as if we are overbought at the moment, so I do believe that eventually we get some type of pullback.