GOLD ( XAU/USD) likely to move up from here

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Take this with a grain of salt. I am no expert, and this is not financial advice.

Technical Analysis (TA):

As we look at the hourly (1hr) timeframe, we can see a strong upward movement followed by a temporary consolidation creating a bullish pennant pattern suggesting a trend continuation. A conservative target puts us at around $3,350 per troy ounce of gold, but we could go as high as $3,494.63 to be exact.

Fundamentals Analysis (FA):

Macroeconomic Uncertainty: I can go into great detail about what is happening, but I would be writing an essay the size of 10 pages, and I don't want to do that now, so here is a quick and simple overview:

  • Tarrif War between the United States of America and China (as well as other countries) could lead to economic slow downs as well as poor revenue's for companies.

  • Start-ups are dead. As of today, there has been an alarming rate of start-ups which has been failing and unable to secure funding, and yes I am aware start ups fail all the time and funding dries up, just at the current rate it is scary how many are actively failing where a year back they were alive and well with bright futures and investment potential, investors are running to safe havens such as GOLD to keep their funds safe.

  • Central banks are expected to pause or even cut rates, which is typically bullish for gold, as lower rates reduce the opportunity cost of holding non-yielding assets.

  • Geopolitical Tensions: War War War :(


Penafian

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