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XAU/USD: Gold Price Exploded After Break of $5,000 Barrier and Eye $6,000
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Action Forex
When gold broke through magic $5000 barrier on Monday, I was asked whether the metal can reach $5500 in coming months?
My answer was that $6000 per ounce is very likely and in a matter of weeks, not by the end of the year, as some analysts predicted.
Four days later, gold touched the high at almost $5600, so if we follow that logic, reaching $6000 may take just few days.
In the current situation when demand grows exponentially, this may look like very likely scenario, but we must know that gold moved in nine-day uninterrupted rally, in which the metal price rose by $980 (around 21%) and the fact that each action produces reaction.
I believe that bulls may take a breather, as investors look to cash in on their huge profits, or at least a part.