3 Analysts: Gold is at these levels for the coming days!

Gold prices rebounded to a one-month high on Friday, recovering on a weak US dollar. That, too, seems to have put the nugget on track for the third week in a row. We have compiled analysts’ market commentary and analysis for our readers.

Matt Simpson: Real move to $1,900 possible for gold

Spot gold reached $1,873.9, the highest since May 9 at the time of Writing Writing was down 0.2% to $1,864.50. However, gold prices are up around 0.8% so far this week. US gold futures traded at $1,866.5, down 0.26%.

As the dollar falls making the dollar price bar more attractive to offshore buyers, City Index senior market analyst Matt Simpson comments:

Prices are up this week We believe it posted a valuable drop near $1,828 and a correct move to $1,900 is possible once bullish momentum returns.

“Large speculators and managed funds are increasing their net long gold purchases”

Gold prices, dollar decline and US special price rose more than 1% on Thursday, helped by data showing jobs rose less-than-expected last month.

Signs of an economic crisis may support gold demand as investors view the yellow metal as a safe haven asset. Matt Simpson continues his assessment along the following lines:

Also, large speculators and managed funds increased their net long gold positions for the first week of the six-week streak last week, indicating a lesser degree of amplification in the fall .

Wang Tao: A break above $1,879 could open the door to the upside

The two leaders met on Thursday and said in the statement that the US Federal Reserve will further tighten monetary policy beyond the expected rate hikes of half a point each at their next two meetings.

As is well known, higher short-term US interest rates increase the opportunity cost of holding non-interest bearing gold. According to Reuters technical analyst Wang Tao, spot gold price could test the resistance at $1,879, with a break above it would result in a profit of $1,892.

Pablo Piovano: Gold faces strong resistance near $1,870

Latest data from CME Group for gold futures markets, short position since May 12. May He noted that it has risen for the first time and the increase is currently around 5.7 thousand contracts. Instead, volume contracted for the second straight session, this time around 30.4k contracts.

According to market analyst Pablo Piovano, gold’s strong rally on Thursday was behind the rising open interest rate and opens the door for more gains in the very near term. Conversely, the expensive metal is facing strong resistance near $1,870.

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