We know that gold has been trending high for years now and my opinion is that the bull run is far from over. There is a promising set signal within a potential bull flag that suggests that the four-month consolidation might just be coming to an end.
I write to those who like to trade and those who prefer a longer-term investment without the headache that comes with trading. From the chart below, we can see a well-defined pin bar from yesterday indicating a potential move into 1920/1930 the top of the channel.
If you are interested in trading, it’s an opportunity to get long, I will recommend entry at 50% Fibonacci retracement of the pin bar targeting 1850, 1910 and 1920/30.
Read: Hybreed Weekly Forex Forecast – week ending 22nd January 2021
If you are looking to invest long term on this consolidation and the pull from an all-time high at 2075, it is also an opportunity to buy in. if the bulls can break out from 1920/30, that might open the gates to new all-time highs.
Gold’s technical and global economic fundamentals suggest that the yellow metal will go much higher than $2,075 per ounce in a year or two.
By: Chijioke Maduakor
