Spot gold (FOREX: XAUUSDO) is currently trading over $1,000 an ounce, and as the dollar falls, the price of gold rises. Overall, the gold market has been doing pretty well lately, being on a general uptrend since October of last year (which coincidentally, was when the financial crisis reared its ugly head).
Now that gold has broken through the thousand dollar an ounce level, what’s next for it? Well, I follow a few technical analysts, including the guy behind INO.com, a well-known investment research site. In the following video on spot gold, he mentions that gold has the potential to hit $1,200 to $1,300 an ounce.
Check this link or the image below to watch the video:
The same analysis has been applied to the GLD ETF, known as the SPDR Gold Trust ETF, which is another market that tracks gold. As expected, its behavior is pretty much similar to the XAUUSDO, but is considered less volatile.
Are you thinking of buying gold right now?