On Kitco, Mr. Jesse Colombo - independent precious metals analyst and founder of BubbleBubble Report - said that the market is only in a correction phase after a sharp increase at the end of last year.
According to him, recent fluctuations are a necessary "cooldown" process after gold increased sharply from December to January.
No assets can increase forever on a straight line," he said. "The current fluctuations are just part of a healthy adjustment process.
Colombo emphasized that the upward trend of gold is still maintained, reflected in the fact that the 200-day moving average continues to slope up for gold as well as many assets in the precious metal group.
This shows that the main trend is still upward and the market's tendency is still leaning towards the possibility of continuing to go up. This is a signal to buy when prices adjust, because waves of decline in the upward trend usually only exist for a short time" - he said.
He also said that recent sell-offs mainly stem from traders taking profits or selling to offset losses in other markets, after the geopolitical shock related to Iran and the appreciation of the USD.
However, I still think that gold is in a fairly solid position. The long-term gold price increase market is still completely maintained" - this expert said.
Even Colombo believes that if the current technical signals are confirmed, gold prices may enter a new strong rally.
He said that the gold price chart is currently forming a cumulative triangle model since the end of January.
If this model breaks through in an upward direction, I believe gold can quickly reach the $6,000/ounce mark," he said.
Similarly, CPM Group analysts also recommended buying gold, with an initial price target of 5,400 USD/ounce.
According to CPM Group, after the attack on Iran at the end of February, the analysis group adjusted its forecast and predicted that gold prices could soar to the 5,400 USD/ounce zone.
This group believes that in the context of the world facing a series of economic and geopolitical instability, gold prices are likely to remain at a high level this week.
The optimistic view was also shared by Mr. James Stanley - senior market strategist at Forex. com. He said that although the past week was quite difficult, the upward trend of gold has not been broken.
According to Mr. Stanley, the 5,000 USD/ounce level is playing an important supporting role for spot gold prices.
The 5,000 USD support level is still maintained quite well up to this point. This could create an attractive buying opportunity as we move into next week," he said.
From a longer-term perspective, Mr. Darin Newsom - senior market analyst at Barchart.com, believes that recent sell-offs do not change the general trend of the gold market.
There will be sell-offs, as we have just seen recently, sometimes quite strong" - he said. "But that does not change the fact that the market is still in a long-term uptrend.
Meanwhile, Mr. Adrian Day - Chairman of Adrian Day Asset Management - believes that the market is still "digesting" the impacts of the conflict in Iran. However, the factors that pushed gold to surpass the 5,000 USD/ounce mark in the past time will soon return to dominate the market.
Mr. Day said that geopolitical events often only have a short-term impact on gold prices, and most market reactions often occur before the event takes place due to the impact of rumors.
According to him, gold prices increased by more than 500 USD last week when the US and Israel launched an attack on Iran, then partially adjusted when the event occurred. However, overall he still expects gold prices to continue to increase.
Overall, we expect gold to increase as monetary factors - which have driven gold in recent years - return to lead the market," he said.
