18.09.202013:35 Forex Analysis & Reviews: Is Gold already halfway toward $4000?

The dynamics of the yellow metal, gold, is causing fierce disputes between supporters and opponents of its further growth. Some strategists of the precious metals market are confident that it will rise in the coming months, while their opponents, referring to the strengthening of the greenback, doubt these predictions.

Call to mind that the price of the "solar" metal correlates with the price of USD, so when the latter increases, gold becomes cheaper and vice versa. In light of recent events, when the Fed's decision to maintain the current monetary strategy strengthened the position of the "American," the precious metal may sink. However, the fears of "Golden" pessimists are in vain, experts believe. The yellow metal is slowly but surely growing, not going to give up its position. Today, September 18, gold is trading near 1.1954-1.1955. This is slightly lower than recent levels, but analysts expect a gradual rise in the price of the "solar" metal.

According to a specialist in the precious metals market, Sunil Kumar Dixit, gold needs to stay above the support level of $ 1935 per ounce for further growth. At the moment, the yellow metal has fulfilled this condition. The expert considers $ 1993 to be the next important resistance level. It is supported by other analysts who claim that the breakdown of the $ 1969 mark will give a head start to the "bulls" in gold and will open the way to the rapid growth of the precious metal.

Most market participants believe that gold is already halfway there, heading for a new peak of $ 4,4,000 per ounce. This position is held by experts of the Bloomberg Agency. The agency believes that by the end of this year, the "solar" metal will still show itself, demonstrating impressive dynamics. Bloomberg's long-term forecast, covering the period up to 2023, implies a sharp rise in the price of the precious metal to $4,000 per ounce.

The soft monetary policy of the leading Central banks shows in favor of the rise in the price of gold. The agency emphasizes that this strategy is not very favorable for silver, copper, and other industrial metals. Bloomberg is confident that the yellow metal rally is just beginning, and its results will be inspiring. Experts focus on the prospects for gold, but warn that the $2000 mark will once again become a serious level of resistance. Overcoming this barrier will not be too long, and its breakthrough will provide a powerful surge in the price.

According to analysts' calculations, by the end of 2020, the yellow metal will significantly rise in price, especially in relation to the white one. Silver, copper, and a number of base metals will be much inferior to their "solar" counterpart, according to Bloomberg. They are affected by a number of negative factors, which are amplified by volatility in the stock market and weak growth in the global economy. Bloomberg experts believe that even in the event of a correction in the stock market, the yellow metal, unlike its non-precious rivals, will continue to strengthen. This trend is designed for the medium and long-term periods, since there are almost no price barriers for gold.