Gold is currently on track for a long-term climb to higher prices in the coming years. The current engrbytrade Gold model indicates a price of $1600 (+/-1%) is expected by the end of 2019. Overall, Commercial Futures Traders Gold Short Positions have been in a down trend since 2010, and an average annual increase of 22% per year in the price of gold is expected for the next several years. The Federal Reserve has full control over the price of this element and will manipulate the price as needed to meet their inflationary target of 2% per year. It is not the prospect of wealth with gold that one should be overly concerned with, but one should focus on the need for a hedge against a dramatic price increase in goods and services over the next several years as the Federal Reserve ultimately exceeds their inflationary expectations.
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Intermarket structural analysis research