Over the last two weeks, the price of Gold has made two attempts at breaking through the $1300.00 mark.
On both occasions, the yellow metal dropped back to find support just above the $1270.00 level.
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This technical pattern is known as a “pennant” formation and is a continuation pattern. In this case, the break out points for range extension are $1308 and $1263.
Fundamentally, the case for buying Gold remains compelling. The surge in volatility across global stock markets combined with heightened geopolitical uncertainty supports the logic for owning Gold or Gold mining shares.
We expect the price of Gold to break through the $1300 level over the near-term. Our preferred Gold mining shares are NCM, EVN, SBM and SAR.
Investors looking to profit from a rally in Gold can either buy these shares outright, or buy their CFDs listed on our SAXO Go platform.
Spot Gold
Newcrest Mining
Santa Barbara Mining
Evolution Mining
