Next gold bull run or just the usual bull…?

Noam Stiekema

  Is it the right time to get back on the gold buying band wagon? Gold fell to a five year low late July but started showing short term bullish sentiment since early August. Although the market sentiment is still overwhelmingly bearish, some traders would suggest that when the market says sell you start buying. At least for […]

Next-gold-bull-run

 

Next-gold-bull-runIs it the right time to get back on the gold buying band wagon? Gold fell to a five year low late July but started showing short term bullish sentiment since early August. Although the market sentiment is still overwhelmingly bearish, some traders would suggest that when the market says sell you start buying. At least for short term investors, there may be some bullish moves left for a quick buck.

China- where it matters.

China recently devalued their currency by 2% causing a ripple affect and pulling other Asian currencies down with it. China being the world’s biggest buyer of the shiny metal and with most investors very comfortable putting their hands in their pockets and filling up their jars with gold; makes what they do matter. To top it off, China’s central bank released news that they increased their gold holdings by close to 19 metric tons. Bang.

Closer to home, investors have already reacted to speculation by FED officials that an interest rate hike could happen as early as September, whilst the most recent bullish sentiment is now speculating based on China’s move and poor US economic data; an interest rate hike at this point would be unlikely to happen.

So gold then sits somewhere in the middle. A stronger dollar makes buying gold more expensive, however; slowing growth in China by devaluating the Yuan keeping China competitive in their key export markets and Beijing motivated to reinvigorate the Yuan with spending at home; could lead to more investors turning to Gold for relief.

Just another day in the markets. Your call. Image thanks to Pixabay

Read this next

Retail FX

Banxso announces 8.7% interest rate on deposits in South Africa

“With Banxso, they can enjoy the benefits of both worlds – earning competitive interest and having the freedom to trade, all within the same platform.”

Industry News

FINRA to publish transaction details in U.S. Treasury securities

“Consistent with our longstanding practice, FINRA is introducing greater transparency in a calibrated and careful manner, benefiting liquidity and resilience in this critical market while also mitigating potential information leakage concerns.”

Institutional FX

OpenYield launches “cheap and easy” fixed income trading for brokers

“We’re on a mission to make bonds cheap and easy to trade, and are excited about the opportunity to build generational capital markets infrastructure.”

Digital Assets

Sumsub and Mercuryo publish a guide for VASPs: “Mastering Travel Rule Compliance”

“At Sumsub, we’ve concentrated our efforts on filling the gap in understanding the complexity of Travel Rule regulation and helping organizations find the best solution to stay safe and compliant while minimizing costs and avoiding potential risks of non-compliance. This guide we created with Mercuryo, our trusted partner, is the ultimate navigation tool all VASPs can consult.”

Digital Assets

Bitget Wallet Leads with Record Swap Volume & New Crypto Innovations

This week, Bitget Wallet achieved a milestone by surpassing Metamask with a record 388,757 Swap order transactions, securing the global lead. The significant 7-day trading volume, almost 68,000 more than its rival, underscores its liquidity and user trust. This robust activity signals Bitget Wallet’s prominent role and reliability in the dynamic crypto market.

Digital Assets

Embarking on a Digital Currency Journey

Imagine you’ve stumbled upon a treasure map, leading you to untold riches hidden in the vastness of the internet. Instead of gold coins and jewel-encrusted goblets, this treasure comes in the form of digital currencies, the modern-day loot coveted by many.

Reviews

Traders Union Experts Share The Trading Analyst Review For 2024

Navigating options trading in rapidly shifting markets poses a considerable challenge. This is where options trading alert services become invaluable. They aid traders in keeping abreast of evolving opportunities and market trends. In this assessment, Traders Union experts scrutinize The Trading Analyst alert service to ascertain its efficacy. 

Digital Assets

BlockDAG’s Presale Achieves $9.9M: Aiming For A 5000-Fold ROI As Cardano’s Price Rises And Fantom Launches Sonic

Explore Cardano’s surge, Sonic’s efficiency, and why BlockDAG’s growth makes it the top crypto choice. A deep dive into the future of blockchain investments.

Digital Assets

US, UK probe $20 billion Tether transfers tied to Russian exchange.

U.S. and UK authorities are investigating the movement of $20 billion in the USD-pegged stablecoin tether (USDT) through Moscow-based exchange Garantex.

<