The intermediate cycle in gold (chart below) has formed turning points roughly every 128-calendar days (4.2-months). That cycle just turned again, triggering an intermediate low on August 9, 2021. Gold must now stay above that low to prevent a breakdown to the $1500 to $1550 area.
KEY PRICE LEVELS
- A sustained breakdown (more than a week) below $1670 would invite a retest of long-term support between $1500 and $1550.
- Whereas a breakout above $1850 is needed to support the next leg higher in precious metals.
I’m long-term bullish on gold and believe the current correction is just a pause in a new bull market that should last into 2030.