Thoughts on Gold Breaking $2000

This summary covers a small section of a live mentoring session with investors that focuses on the price of gold.

Three key points were discussed in this conversation:

The potential for a new major breakout in gold’s price: Brian and I note that gold is trading around the $2000 mark and could either break out to new highs or experience a failed reversal. We also highlight gold’s resilience compared to other assets such as silver and gold miners, attributing this to its status as a global reserve currency.

The significance of the $2000 price level: We discuss the importance of gold holding above $2000 for more than just a couple of days and the need for a retest of this level after a pullback. A sustained move above $2000 would signal increased confidence in gold’s rally.

Concerns about gold price fluctuations driven by events: We express concern that gold’s price spikes are often driven by events such as wars or banking crises, which could lead to false moves and rapid reversals. We emphasize the need for gold to consolidate and hold ground rather than spiking on news events.

Additionally, we briefly discuss newsletter, which offers momentum and swing trading insights for short-term active traders focusing on precious metals and other assets.

Gold may still drop to $1400-$1500 in the next 6-12 months, this clip only covers what to look for with gold if it breaks out. The next clip Ill post covers why gold looks like this is a false rally and will reverse.

When an investor can no longer afford to ride out the risks of a bear market with a 60/40 portfolio, an Asset Revesting Portfolio can be a successful alternative.


Chris Vermeulen