Gold Price Forecast: Is a Breakout Above $5,000 Next?
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Key Points:
- Gold remains above $4,500 as a weaker U.S. dollar supports a move toward $5,000.
- A confirmed break above $5,000 could open the way toward $6,000.
- Brent crude above $100 could delay the expected gold breakout.
Gold (XAU) is holding above $4,500 as a weaker U.S. dollar and lower expectations of an immediate Fed rate hike support the market. In my view, this backdrop supports a move toward the $4,800-$5,000 resistance while high inflation and the risk of higher oil prices remain the main threats. This article discusses the Fed outlook, the technical structure of gold and the gold to silver (XAU-XAG) ratio to determine whether gold can break above $5,000.