National Bank Raises NGT PT to $71 CAD from $54.....BUT be cautious.
Unless the price of gold goes significantly higher from the $2,350 level today I don't see NEM / NGT going much higher than US $41 C $55.00 in the short term. It seems the average analyst PT is about US $46 and CAD $64 which is probably about right but nothing goes straight up and a little pullback would probably be a good thing.
Based on today's high of C $54.46, NGT has risen 36.3% from its 52 week low of C $39.96 only a few weeks ago. I'm very bullish on gold but the technicals, RSI in particular, is showing the stock is now Overbought and you can bet the short sellers are just waiting for some negative news to jump on this thing and take it back down to the low $50's CAD before it resumes its upward trend.
I expect NGT to retest its 200 DMA of $51.38 within a week or so. Newmont price target raised to C$71 from C$54 at National Bank - TipRanks.com When the anlayst PTs are as sporatic as they are, that tells me they don't really know and are guessing where gold will go just like we retail investor minions.
Late last week Barron's posted an article on MSN that the gold had topped out around $2,300 and then last night another Barron's analyst article states that he the charts have confirmed his projection that gold is going to at least $3,600 to $4,000. To me it looks like Barron's was planning to go short last week but then when gold suddenly spiked up some more, they decided it was best to join in on the hype train and go long for a bit. Now today gold isn't spiking (at least yet) so it'll be interesting to see what Barron's next gold price target will be.
Gold Prices Are at Record Highs—and They’re About to Shoot Even Higher (msn.com) In reality, the price of gold is being driven by geopolitics and the ongoing wars in Ukraine and Middle East and the increasing instability around the world and unfortunately we will be the last to really know what's going on until it's going on. If gold does spike to $3,600 to $4,000 as now projected by Barron's, worrying about our gold stocks will likely be the least of our worries. We also need ot get past this weeks economic data events. With the S&P at/near an all time high, my advice is tread carefully.
My opinion only, please DYODD.
HB77