Spot gold to hit $2,900/oz by year-end, above $3,100 in Q1 2025 – IG Markets’ Rudolph

(Kitco News, Mon. Nov. 4th 2024) – Spot gold will rise as high as $2,900 per ounce by the end of this year and will trade between $3,000 and $3,113 in Q1 2025, according to Axel Rudolph, market analyst at IG Markets.

In an analysis published Nov. 1, Rudolph noted that gold has been in a strong bull market for the past two years, and last week’s record price of $2,790.00 per ounce was just short of the key $2,800 level.

​“Even if a significant retracement lower were to be seen, the gold price will remain in long-term uptrend as long as the 2024 uptrend line at $2,550.00 underpins,” he wrote. “Any such potential retracement lower would thus represent a buying opportunity, provided that no fall through the $2,278.00 late April low were to occur.”

“​Support on the weekly chart can be spotted around the September peak at $2,685.00 and also at the early October $2,605.00 low,” he added.

​Rudolph said that beyond the psychological $2,800 – $2,900 per ounce level, which the spot price is expected to reach by the end of 2024, he sees the $3,000 level coming into focus in the early months of next year. “This level coincides with the 261.8% Fibonacci extension of the September 2022-to-May 2023 advance, projected higher from the October 2023 low, at $2,999.46,” he said. “It is not expected to be reached before the first quarter (Q1) of 2025, though.”

​Rudolph believes gold will then likely trade around $3,000 for several months, as it will act as a strong round-number magnet for investors.

​“Physical gold purchases by several central banks, and especially by China, are likely to continue until this threshold is reached,” he wrote. “Were these purchases of gold bullion to continue beyond the $3,000.00 technical level, then $3,113.00 could be reached as well. It represents the 261.8% Fibonacci extension of the 1999 low to the September 2011 high, projected upwards from the December 2015 low.”

​Should gold surpass these technical levels in 2025, “the next psychological $4,000.00 mark may also be considered as a possible upside target,” he added.

Posted by:

Jack Dempsey, President

401 Gold Consultants LLC

jdemp2003@gmail.com