Analyst who accurately forecasted March gold price sets new target for April

Gold prices have been rallying since the start of 2024 amid the US disinflation story and geopolitical strife.

Saqib Iqbal, a financial analyst at Trading.Biz, who correctly predicted Gold price for March has a new target for April.

He said that the price would cross $2,200 in March, and it did reach a high of $2,222 on March 21.

• The gold price is expected to range between $2,140 and $2,200 in April.
• The recent surge in gold prices is attributed to US economic factors and market demand.
• The price can remain volatile soon but can’t dip by more than 5%.

He says, “I expect gold prices to remain volatile ahead of Federal Reserve’s April meeting. Until then, I believe the price will swing between $2,140 and $2,200. A break on any side of this price range might result in an extra $50 movement in the course of the breakout.

Gold’s recent surge can be attributed to US economic statistics. The market circumstances have raised gold demand while decreasing demand for other commodities.

For example, Gold’s record price on March 22 was partly driven by the Federal Reserve’s Open Market Committee (FOMC) meeting that week, during which Fed Chair Jerome Powell reiterated the committee’s intention to cut interest rates three times in 2024.

Saqib says he doesn’t think gold will decline in the foreseeable future. It has increased significantly during the previous few months. However, this rally pushed the metal out of its three-year trading range.

It might probably take a break in the short future. Yet, he does not foresee a fall of greater than 3% to 6%. If it pulls back, it will only do so temporarily, since the US disinflation story will not enable it to pull back for an extended period.

Since making a high of $2222, the XAU/USD has retraced a bit. Since the price broke the resistance level of $2148 on December 2023, the next upper level would be $2250. If the price manages to break this level, then it can further go towards $2300.

On the other hand, a dip lower can bring the price towards $2150, and if it manages to break this level, we can see a fall towards $2100.