The gold price has been on the rise for the last few months, but Nick Santiago, CEO and chief market strategist at InTheMoneyStocks.com, still believes a big pullback to the US$1,500 per ounce level is possible.
“I’m not bearish gold at the moment, but if I do get a sell signal, I think the next leg down takes you to that US$1,500 level, which would be the ultimate buy area,” he explained to the Investing News Network. “I think that’s going to be your chance to really get into gold for the long term. And then I do think gold ultimately breaks out to a new all-time high.”
In terms of exactly how high gold could go in 2023, Santiago said he doesn’t expect US$5,000 or US$10,000 like some market watchers are projecting. However, he does see the high US$2,000s, or possibly even US$3,000, as possible.
The story is different for silver. Santiago thinks the white metal has bottomed, but said US$18 to US$19 per ounce would be an attractive entry point. “I do believe silver ultimately heads above US$30. I’d love to be able to catch that in the high teens,” he said.
Looking over to oil, which he was interested in previously, Santiago said he would “buy with both hands” if it gets down to US$50 per barrel. In general, he thinks companies in the energy sector need to digest their recent moves or even correct.
Overall Santiago expects 2023 to be volatile and choppy, which will create opportunities for traders, but may upset investors. That said, even traders will have to exercise some caution. “If you don’t have patience, you just won’t make it,” he said.
Watch the interview above for more of Santiago’s thoughts on gold, silver and the markets this year.
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Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.
Editorial Disclosure: The Investing News Network does not guarantee the accuracy or thoroughness of the information reported in the interviews it conducts. The opinions expressed in these interviews do not reflect the opinions of the Investing News Network and do not constitute investment advice. All readers are encouraged to perform their own due diligence.