Gold looks to regain $ 1330 as USD rally stalls. Will it sustain the bounce from three-week lows? Why does John Pfeffer prefer Bitcoin over Gold? Learn these and more from this 24 April Gold Price Technical Outlook.
24 April, GKFX – While interest in gold is starting to grow, the yellow metal did not get a warm reception at the 23 annual Sohn Investment Conference.
Bitcoin Beats Gold
In his presentation, John Pfeffer, a partner at Pfeffer Capital, picked Bitcoin over gold, saying that the cryptocurrency is “the first viable candidate,” to replace gold.
He added that Bitcoin is better than gold “on every front.” While Pfeffer is a fan of Bitcoin and the blockchain technology he doesn’t’ think every asset is equal and aside from Bitcoin, most are bad bets. Pfeffer also put his Bitcoin where his mouth is, donating ten digital tokens to the Sohn Investment Conference Foundation, which raises money for pediatric cancer research.
Gold looks to regain $ 1330 as USD rally stalls
Gold futures on Comex is seen making another attempt to regain the $ 1330 barrier, as the USD bulls take a breather, consolidating the Asian upsurge to fresh multi-week tops above the 91 handle. The pause in the broad-based USD rally is mainly due to a minor-correction seen in 10-year Treasury yields after the 10-years failed near the 3 percent bulwark.
The yellow metal also finds some support from rising inflation expectations, as oil prices sit at three and a half year highs. However, it remains to be seen if the metal manages to sustain the recovery mode, as the US dollar may regain poise versus its main peers in the session ahead.
More so, receding geopolitical tensions amid peace talks on the Korean peninsula and Washington extending its deadline for sanctions against Russia’s Rusal could cap the upside in the safe-haven gold. Later today, gold prices also look forward to the US CB consumer confidence and new home sales data for fresh USD-driven moves.
24 April Gold Price Technical Outlook
According to Fawad Razaqzada, Technical Analyst at Forex.com
“Gold has now broken below its bullish trend line after taking out support at $1335. This $1335 level is going to be pivotal in the short-term outlook now. For as long as the metal stays below it, the short-term bias would remain bearish. If we go above it, then there’s a possibility for price to go towards the next resistance at $1341/2. The long-term bias would only turn bullish if and when we get a decisive break above that the 1$357 hurdle.”
“If the selling pressure does not abate then gold could drop to the next support at $1318 very soon. Below this level, there’s nothing significant in terms of support until the pivotal $1300 level. In addition to this being previously resistance, we have the 50% retracement level converging with the 200-day moving average here, too. So, should gold get down to $1300, we may get at least a bounce here due to the convergence of several technical factors,”
This article 24 April Gold Price Technical Outlook was written by analysts at GKFX. The information provided herein is for general informational and educational purposes only. It is not intended and should not be construed to constitute advice.
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