Long-Time Gold Bear JC Parets Turns Bullish; $5,000 Possible

12.28.22 - Saxo Bank's Predictions for 2023

Gold last traded at $1,804 an ounce. Silver at $23.54 an ounce.

 -Forbes--Last week, we mentioned gold price projections for 2023 going as high as $4,000 an ounce. Now another forecast sees gold topping $5,000 an ounce! As you read on, what's more important than the price projections is the underlying reasons why these price levels are a possibility. These predictions may or may not be accurate, but the fundamentals surrounding them are real. This is why many experts agree the best hedge for anyone is a position in physical gold.

A long-time bear on investing in gold bullion seems to have flip-flopped.

Now he's bullish, and how!

JC Parets, who founded and runs technical analysis firm AllStarCharts.com now sees the price of gold bullion heading towards $5,000 a troy ounce. Among other things, technical analysts use price charts to predict where asset prices may go next.

Active month gold futures were recently changing hands at approximately $1,824 an ounce on the CME. But prices for the traditional safe-haven asset have traded in a range from around $1,640 to $2,035 since early 2020, which was the year the COVID-19 pandemic erupted.

The SPDR Gold Shares (GLD GLD -0.4%) exchange-traded fund, which holds bars of solid bullion, followed a similar pattern of ups and downs with a range.

"It's been two years since gold hit new all-time highs," Parets and his team write in a recent report. "And, while it hasn't gone anywhere since, it has remained buoyant." His emphasis.