Gold sliced through the powerful psych mark at 2,000 like ‘a hot knife through butter‘
The move has some fearing a deep correction, but many my work shows more gains as investors buy into the precious Yellow metal’s safety.
The record-breaking rally, which lifted gold as high as 2,055 Wednesday, has made the shiny metal 1 of 2020’s best performing mainstream assets.
It has risen 500 this year, and 200 in the last 2 wks alone.
Taking out the big round 2,000 barrier means investors must change their reference points now. The adjustment will be higher as we are definitely in a Bull run
Investors added 922 tonnes of gold worth $60-B at current prices to their stockpiles in ETFs (NYSEArca:GLD) this year, there is deep Support and No resistance. All of my Key indicators are Very Bullish across the board.
Investors see gold as an asset that should hold its value as the health chaos and money printing by central banks erode the value of others assets.
The USD, another safe-haven rival to gold and the currency in which it is priced, has slid to 2-yr lows and is going lower.
Mr. Barren added, with gold you cannot print it, you cannot artificially create it. “It will hold its value.”
Bank of America says prices could hit 3,000 oz within 18 months.
Have a healthy day, Keep the Faith!