Gold Price Forecast: A Surge Above $3,200 Expected Before April Peak

Gold broke through $3,100 following a short consolidation, and we’re likely entering the final leg of the rally into an April peak.

Silver futures closed above $35.00, and we’re at the critical point in the trend where prices could accelerate rapidly towards $40.00.

Miners are tracking gold, but we haven’t seen the level of outperformance I anticipated once gold surpassed $3,000—that could change soon.

Our Gold Cycle Indicator is at 317 and approaching minimum cycle topping.

GOLD WEEKLY: The weekly gold chart shows a strong intermediate bull trend that should extend into April. Typically, cycle peaks arrive around the time prices breach the upper boundary of the 10-week EMA envelope, which currently is $3,204.

GOLD DAILY: Gold is approaching the danger zone of our Gold Cycle Indicator, supporting a cycle top sometime in April. A spike above $3,200 is becoming increasingly likely.

SILVER: The Stockcharts version of silver shows the spot price instead of the May futures, which closed above $35.00 today. Upside follow-through from here could trigger an April short squeeze towards $40.00.

GDX: Miners closed above the recent high, supporting an end to the recent consolidation. The next thrust should propel prices towards $50.00. Prices have kept pace with gold, but I'm yet to see significant outperformance, which one would expect with gold above $3,000. The last 5.00% plus up day was in December 2023, so we are overdue if you ask me.

GDX to GLD RATIO: The GDX to GLD ratio confirmed a head-and-shoulder breakout, but the overall structure remains below the October peak. In 2016 and 2020, the ratio peaked at 0.228, implying miners remain in a bear market compared to gold.

GDXJ: Juniors made a fresh closing high and should test $60.00 soon. Prices peaked at $61.35 in 2020 when gold was trading $1000 lower, so there's no reason we shouldn't see more upside.

SILJ: Silver juniors remain a disappointment and continue to underperform silver. At this point, we need a 12% rally just to retest the October high, which silver just surpassed. We need multiple 5.00% up days to get momentum moving in the right direction.

NEM: Gold has been above $3,000 for two weeks, and everything is in place for a strong rally. Prices need to break forcefully through $50.00 to trigger a momentum thrust towards the price gap between $55 and $57.

BARRICK: Barrick needs a decisive breakout above $20.00 to get the ball rolling toward the October high.

In Conclusion

Gold’s rally from the December low is approaching its final leg, with the potential for a spike above $3,200 before peaking in April.

Silver is running out of time, and for a potential short squeeze to unfold, we need to see a strong move above $37.00 in early April.

I’m still optimistic that miners are on the brink of a major breakout, which could signal a shift into a new bull market phase, driving prices substantially higher.

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