Gold Forecast – Gold Breakdown Target & The Next Buying Opportunity

Last week’s gold forecast timed the triangle pattern peak, and gold is beginning to break sharply lower as expected. Our work continues to support a September breakdown into an October low.

Approximately every 6-months, gold forms an intermediate cycle low. Sometimes the cycles are cut a little short, as we saw with the coronavirus – other times, they extend. The March 6-month low arrived early due to the extreme nature of the decline. The next low is rapidly approaching and should arrive in early October.

Note: A short cycle (March) is often followed by a slightly longer cycle to balance the span. Our work continues to support a breakdown below $1900 in September and a decline to our preferred target box.

Our Gold Cycle Indicator was designed to navigate the 6-month cycle. I won’t expect a low until the value drops below 100 and enters minimum cycle bottoming. At a minimum, we believe gold will revisit $1800.

When the GCI drops below 100, I will begin adding to our Gold Predict Educational Portfolio. I’m considering adding silver miners and some energy. I believe the unprecedented gas and oil well shutdowns will create a supply issue next year; higher oil prices could spark the upcoming inflation.

AG Thorson is a registered CMT and expert in technical analysis. He believes we are in the final stages of a global debt super-cycle. For more information visit here.

For a look at all of today’s economic events, check out our economic calendar.