Gold Forecast – How Gold Prices Could Exceed $10,000As the next 6-month low in gold approaches, I wanted to share some thoughts on where I believe the bull market in gold is headed. Any dip from here is considered a long-term buying opportunity.
THE BIG PICTURE FOR GOLD
The fundamental picture for precious metals has never been better. Governments worldwide have committed to suppressing interest rates and printing money to solve their debt problems. Eventually, they will be forced to default or devalue – it is that simple!
Collapse in Confidence
Government mismanagement will persist; this will lead to a breakdown in confidence amongst the American people. I see the potential for a breakup of the United States (balkanization) as political tensions escalate. Investors will flee government bonds fearing write-downs – gold will benefit.
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Gold tends to form major bottoms every 8-years. The last low arrived in 2016. The next one should come in 2024. So, what can we expect over the next several years? Below are my thoughts.
An A=C measured target supports a price objective between $7500 – $10,000. However, a speculative mania or great depression could push prices north of $10,000 per ounce, in my opinion. The below chart is pure speculation, and my best guess according cycles and chart history – do not take it too seriously.
Any way you look at it, gold is going much higher, in my opinion. Buyers today should be happy 10-years from now.
AG Thorson is a registered CMT and expert in technical analysis. Premium members receive daily market updates. For more information, visit here.