Kinesis Gold Analysis

Posted in News

Kinesis Gold Analysis 04.08.2021

The gold price remains traded in a tiny trading range of a few dollars, being unable to find a clear direction. The recent attempts to break up the resistance levels of $1,820 and 1,835 failed to find consistency, while gold returned within the lateral trading range between $1,790 and $1,820.

In the last few hours the price is yet again trying to test the first resistance placed at $1,820, confirming the improving momentum for bullion.

Technically, in the last few days we have not seen big changes. Bulls seem to be close to taking control, but so far everytime that gold is trying to surpass key resistances, sellers are becoming active again.

The Federal Reserve and the gold price

gold price analysisThis uncertainty is definitely related to the “wait and see” mode shown by the Federal Reserve. The way forward seems to be signaled, with tapering coming in a few months, while for the first interesting hike we will have to wait a lot longer. But the hesitations about the timing of the next movements of the Federal Reserve are reflected in the markets and in bullion prices as well.

ADP labour data (today) and non-farm payrolls (on Friday) are now the first two key elements to monitor as they can in some way influence the Fed in the timing of the next decisions.

The greenback could benefit from data above expectations, as if they can meet that the Fed would be forced to act relatively soon. Vice versa, figures below forecast could allow the Fomc to continue with the ‘wait and see’ model of the last few months, in order to enable the US economy to further improve.

Kinesis Silver Analysis 04.08.2021

Gold price is relatively steady just above $1,800, while the situation does not seem to be different on silver. Indeed, also the grey metal is showing little volatility, remaining flat at $25,60/25,70.

Also the technical picture for silver seems like it's slowly improving, as the price has already recovered over 4% from the bottom reached last week. Anyway, only a solid recovery above the resistance zone of $26 and 26,5 will be seen as a signal of strength, opening space for further gains.

Carlo Alberto De Casa

Kinesis Money Market Analyst

Carlo Alberto De Casa is Market Analyst for Kinesis

He also writes as a technical analyst for the Italian newspaper La Stampa.

Carlo Alberto provides regular commentary for UK outlets including the BBC, Telegraph, the Independent, Bloomberg & Reuters. He is also a commentator for CNBC Italy. He worked for Bloomberg as their Equity Research Fundamental Analyst before joining brokerage ActivTrades in 2011 to specialize in currency markets and commodities. In 2014 he published a 250-pages book on gold and the gold market, followed in 2018 by a new updated edition. 

About Kinesis

Kinesis is a global monetary system, based 1:1 on allocated physical gold and silver. Through digitalising physical gold and silver, Kinesis is introducing a new era of precious metals

Kinesis set out to bring back a stable, debt-free store of value to the global monetary system. A global fintech company specialising in payments technology, Kinesis has combined the timeless value of physical gold and silver with the latest technological advancements. Creating a digital currency with the everyday utility of a fiat currency; the borderless value and efficiency of a cryptocurrency, and none of the inherent volatility. Kinesis currencies enable allocated gold and silver bullion to be instantly purchased, traded, spent and sent anywhere in the world, bringing real-world access, value, and utility to physical precious metals. Kinesis operates our global platform from our offices in Australia, London and Liechtenstein, with vaulting facilities across all major trading hubs: Brisbane, Dubai, Hong Kong, Liechtenstein, London, New York, Singapore, Sydney and Zurich. 

Disclaimer - This report is not an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information. Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not a reliable indicator of future performance.