Gold Forecast: Gold Crashing Into Our Cycle Target

In August, our article Cycles Support A September Buying Opportunity reported the potential for an aggressive cycle decline into the next 6-month low. That collapse is underway and we could see a buying opportunity by late September or early October.

Gold Price Update

Though gold consolidated a bit longer in August than expected, our September/October Target box remains valid. Our updated forecast Gold Nearing Final Peak of Triangle Pattern foresaw last week’s peak and warned of the ensuing collapse.

As a reminder, gold prices tend to form a cycle low roughly every 6-months. Sometimes the cycles are cut 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, and the next low is rapidly approaching. 

Our Gold Cycle Indicator was designed to navigate the 6-month cycle. I will not expect a low until the value drops below 100 (currently 294) 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 am 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.