Spot gold opened the Sunday evening session with massive momentum, obliterating key resistance levels setting a new all-time high of $2,148.99 within the first half-hour of trading.
The move was driven by a powerful combination of financial policy talks with rate cut expectations. Plus gold was setting up at some key technical levels. Investors had a lot of stops around the $2,100 level that were just triggered fueling the surge. It looks like the estimates of $2,500 gold in 2024 could be coming true quicker than anticipated.
I’m already seeing a lot of news and headlines of the new all time high. I’d expect to see new money flood into the asset and I’d bet institutional investors will try to soak up some of that money and after the hype starts to fade. With that I’d trade carefully.