Frederic Panizzutti
Frederic Panizzutti
continue factors fed few last momentum months supportive unchanged upside
The factors that fed the upside momentum over the last few months are unchanged and should continue to be supportive for gold.
break course exclude expect gold market remain several surprise time trading
We expect gold to remain very volatile, trading erratically from time to time and to break over $600/oz during the course of 2006. We would not exclude several short-lived double-digit rallies to surprise the market during the same period.
expect gold good helped higher last momentum move reasons year
There are good reasons to expect gold to keep its momentum on the way higher. If you look at the fundamental reasons that helped gold to move higher last year and this year, I think most of them are still in place.
base built move price recent solid
The recent price consolidation...has built a very solid base for a move higher.
high market testing
We see it testing the high around $572, but there is a willingness in the market to go to $580.
against created disruptive environment factors gold insecurity insurance market perfect shown small type
You have many different small factors in this market which have created an environment of insecurity and gold has shown to be the perfect insurance against any type of disruptive event.
few positions small
It's not just big positions by a few people. It's also small positions by many people.
both funds likely
There are some funds that play both commodities the same way. Profit-taking is also likely on the way up.
bull dynamic feeds few recent resulting trend
The bull trend experienced over the recent few years is resulting in a self-fed dynamic -- the trend feeds the trend.
asset consensus gold higher market momentum trade
The momentum higher in gold continues. The consensus in the market is that gold will trade to between $600/oz and $800/oz in 2006. The asset relocation into gold continues.
against asset becoming believe disruptive gold insurance managers missed policy portfolio risk type
Gold is more and more becoming an insurance policy against any type of disruptive risk and most portfolio managers believe that gold is an asset which should not be missed in their portfolios.
attracts gold insurance portfolio role
Gold in its insurance role in a portfolio attracts ample interest.
ahead came gold market positions support took
The market took on some new positions ahead of the Fed. After they raised, as expected, gold came off, but there is support now around $565/566.