HomeHome SearchSearch MenuMenu Our productsOur products

MY GOLD TARGET: REACHED

by , 24 August 2020
MY GOLD TARGET: REACHED
On 1 April 2020, I sent out an article:

This precious metal just proved its safe-haven status during the
world-wide lockdown

At the time, gold was trading at $1,450. I predicted (based on a Megaphone Formation) that the price was heading to $1,960.

This was due to the following factors at the time…

• The Fed printed over $2 trillion stimulus package for households and business loans.

• Gold prices rallied higher as millions of people filled for unemployment.'

And so, with these two worrying factors, gold proved its safe haven status, rallying to new all time highs and hitting my target this month at $1,960.

In today's article, I'll share with you three more factors why I expect gold's rally to continue over 35%...

________________________________________
 
New profitable opportunities have just arrived!
 
If you missed the last batch, you’re in luck for the next.
 
Basically, Timon’s weekly profit strategy has been outperforming most markets recently.
 
He’s generated double and triple digit gains in as little as 2 weeks.
 
And month after month, the gains just keep on rolling in.
 
Take a look at the last three months alone:
 
 
 
________________________________________
 
Investors are buying BIG time into gold ETFs
 
According to analysts at Citibank, investors have been buying a record number of gold exchange-traded-funds (ETFs).
 
We’re also seeing a large number of hedge funds switching their exposure away from the gold metal, gold futures and more into gold ETFs.
 
In fact, GLD is now the sixth-largest ETF on the market.
 
“The record pace of ETF investor inflows, a weakening dollar and negative real yields are the primary drivers for the push higher.”
 
There is more than $79 billion in assets under management as of last Monday...
 
There are a number of reasons why one would invest in a gold ETF. However, I think the biggest reason is because gold ETFs gives investors a low-cost exposure to gold, without having the hassle of owning and storing the metal.
 
And as we see more investors buying GLD and other gold ETFs, the price will continue to fly.
 
Even Warren Buffett is buying gold 
 
Last Monday, Warren Buffett’s company Berkshire Hathaway, bought a huge stake in Barrick Gold.
 
In fact, they bought over $562 million worth of shares, in the second largest gold miner.
 
And you know what happens when Warren Buffett buys?
 
Investors follow and buy into the market, sending the price up.
 
Gold has soared through a psychological price level
 
Gold has been the talk of the town this month.
 
Not only have investors been celebrating gold’s 30% price rise this year hitting its all time highs.
  
It also, as of August, reached over $2,000 per ounce for the first time in history.
  
$2,000 was a psychological resistance (ceiling level), with gold’s 49-year trend channel just below $1,983 per ounce.
  
Now that the price has been breached, you can expect a huge number of investors buying their positions in gold as they expect the price to head up.
  
You can also expect the bears (short sellers) to exit out of their losing positions as their hopes for a gold crash start to dwindle.  These are all positive signs for another gold rally.
 
Why this Megaphone Formation signals another
35% gold rally
 
 
 
Above is the weekly chart of gold.
  
Since 13 Aug 2018, gold has been moving in a Megaphone formation (shaded area).
  
You can see a triangle pattern has been forming, where the price makes higher highs and higher lows.
  
Three weeks, ago the price broke up and out of the Megaphone Formation hitting my first price target of $1,960. It has also set the next price target, I expect gold to hit.
  
To calculate the target, you’ll simply use the High-Low calculation. You’ll simply take the difference between the high price and the low price of the Megaphone formation and add it to the high price.
   
Price target = (High – Low) + High
                      = ($1,850 - $1,200) + $1,850
                      = $2,500
 
________________________________________
 
You may never see value on the stockmarket quite like this ever again!
 
Right now, there are a handful of little known stocks at the most attractive levels they've been in a decade:
 
A Precious metals producer that's turning mine dumps into money - and it's just signed a deal to get its hands on a 150 million tonne copper opportunity in Africa
 
A Pharmaceutical and healthcare company that's capturing the entire value chain from medicine and PPE to medical aids, and health insurance - and even though you've probably never heard of it - it serves more clients than Discovery Health!
 
A niche manufacturing company that's literally DOUBLED its footprint in Europe over the last couple of years - and now its expanded with another offshore acquisition
  
An essential logistics provider that's paying one of the largest dividends on the JSE - whilst still growing its business year on year.
  
An up and coming transport company that's making big money from government's failures in the public transport space
 
I’ve identified these 5 local companies I believe could double in share price or even more over the next 24 months! You can learn more here.
 
________________________________________
 
Here’s how I’ll profit from the next 35% gold rally
  
First, I can buy the gold CFDs and hold it until it hits the price target of $2,500.
 
Second, I’ll be looking at buying gold companies listed on the JSE, when the gold price moves up.
 
 
Trade well,
  
Timon Rossolimos
Analyst, Red Hot Storm Trader
 
PS: Did you know!
 
Timon has banked his Red Hot Storm Traders 4/4 winning Gold CFD trades this year with over a 202% cumulative gain…
 


MY GOLD TARGET: REACHED
Rate this article    
Note: 3.38 of 4 votes

Related articles



Related articles




Trending Topics