A Gold Breakout Is on the Way

This bullish pattern shows that gold could soon hit a new high. Today, we'll take a closer look – and see how much higher the metal could go once it breaks out... [Stansberry Research Logo] Delivering World-Class Financial Research Since 1999 [DailyWealth] This essay was originally published in DailyWealth Trader, a daily trading advisory. To learn more about this service, [click here](. --------------------------------------------------------------- A Gold Breakout Is on the Way By Chris Igou, editor, DailyWealth Trader --------------------------------------------------------------- Gold is within spitting distance of its all-time highs... The metal's current record is $2,063.54 an ounce, set in August 2020. And it was close to breaking that level in March 2022. Earlier this month, it rose right up to that level and has been trading sideways ever since. Now, a bullish pattern shows that we could soon see a new high. Today in DailyWealth, we're going to take a deeper look into this pattern. And we'll use it to project how much higher gold could go once it breaks out... --------------------------------------------------------------- Recommended Links: [Huge Gold Prediction at 10 a.m. Eastern Time Today]( Gold has been surging in recent weeks amid growing recession concerns and the fast-approaching deadline before the U.S. defaults on its debt. But according to 50-year gold expert John Doody, whose work is read by gold-mining executives and more than 40 professional money managers all around the world, most folks are completely missing how to play this situation for maximum wealth protection... and profit potential. [Click here by 10 a.m. Eastern time for details](. --------------------------------------------------------------- [Where to Make Money in 2023]( The global banking system has been rocked in recent weeks... the Federal Reserve just raised rates to 16-year highs... and the U.S. Treasury could run out of money in days. But there's a little-known secret to making money during record volatility, which some Wall Street firms used to TRIPLE their profits last year. [Click here to learn more](. --------------------------------------------------------------- Gold was on a two-year hot streak from 2018 into 2020. The metal rose 75% from August 2018 into August 2020. That's a huge boom in just two years. These kinds of sprints higher can't last forever. Eventually, gold would have to take a breather... and then trade sideways as it "digests" its gains. That's exactly what we've seen. Gold has been trading between $1,600 and that $2,063 high ever since. Take a look... This is what it looks like when an asset cools off after such a big run. You can see that it has tested that $2,063 high two times since – once in March 2022 and once earlier this month. Its previous high might not be the record much longer, though. That's where our technical pattern comes in today... Let's take a wider view of gold's price action since 2018. Again, the metal soared to its August 2020 high. And as we showed you earlier, it has been trading sideways ever since... forming a "bull flag." The big rally higher is the flagpole. And the sideways action creates the flag. When the asset breaks out of this range, it typically moves quickly. You can see the recent pattern in the chart below... A flag is a continuation pattern. All that means is the asset tends to continue the previous trend once it breaks out. So if gold was soaring before the flag pattern, it will likely rally higher after. Gold started rallying from $1,200 an ounce in 2018 all the way up to $2,063 in August 2020. Today, we can use this pattern to see how high gold could run once it breaks out. We do this by determining the length of the flagpole. The flagpole itself is $863 tall ($2,063 – $1,200 = $863). We simply add that to the breakout point, which is also about $2,063. That gives us a target price for gold of $2,926, or 42% higher than the previous high. Again, gold hasn't broken out just yet... It could trade sideways for a little longer before that happens. But given that it has been trading in this range for more than two years, and we're only 4.4% away from the high, we're likely close to the breakout. Once that happens, another furious rally in gold is likely to get underway. The metal could run to nearly $3,000 an ounce. And the time to position yourself to profit is today. Good investing, Chris Igou --------------------------------------------------------------- Editor's note: Right now, legendary gold investor John Doody says a perfect setup is falling into place for gold – better than anything he has seen in 50 years. And folks who get positioned in the right investments now could make five times their money or more. If you want to hear more, tune in online to see him interviewed TODAY at 10 a.m. Eastern time... You'll learn how John built a gold system that has delivered a cumulative audited gain of 706% since 2001... And he'll outline exactly how you can seize today's rare opportunity. [Click here to learn more](. Further Reading "Even though gold is darn close to an all-time high, we haven't seen the biggest gains of this rally," Brett Eversole writes. That's because investors still aren't in love with the metal. It's an imbalance that points to more upside ahead... [Read more here](. "Rising assets tend to keep rising," Brett explains. "A strong trend becomes a self-fulfilling prophecy, with more investors jumping in as prices rise." Right now, gold has strong momentum – and we shouldn't expect it to run out of steam yet... [Learn more here](. --------------------------------------------------------------- [Tell us what you think of this content]( [We value our subscribers' feedback. To help us improve your experience, we'd like to ask you a couple brief questions.]( You have received this e-mail as part of your subscription to DailyWealth. If you no longer want to receive e-mails from DailyWealth [click here](. Published by Stansberry Research. You're receiving this e-mail at {EMAIL}. Stansberry Research welcomes comments or suggestions at feedback@stansberryresearch.com. This address is for feedback only. For questions about your account or to speak with customer service, call 888-261-2693 (U.S.) or 443-839-0986 (international) Monday-Friday, 9 a.m.-5 p.m. Eastern time. Or e-mail info@stansberryresearch.com. 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