Mr. Cao Yang, the renowned gold investment analyst from China, suggested that the ideal price to invest in gold in the second half of 2022 would be 100 USD above or below 1,650 USD/oz. He has also shared 7 major factors that affect the price of gold.
According to the analysis by Mr. Cao Yang, the gold price will fluctuate between 1,675 USD/oz and 2,075 USD/oz in 2022. In the second half of 2022, the lowest price to invest in gold would be between 1,550 USD/oz and 1,750 USD/oz.
He suggested a technique for investors to refer to while investing in gold, which is the “1-1-2-2-4 formula.” Taking the gold price of 1,700 USD/oz as the target price, investors are advised to increase their gold investment by 10%, 10%, 20%, 20%, 40% for every 20 USD/oz dropped. (Refer to the table below.)
Meanwhile, Mr. Cao Yang has suggested 7 major factors that will affect the price of yellow gold to assist investors in gold investment:
A sudden occurrence of a natural disaster or human calamity may increase demand for gold, resulting in an increase in gold prices.
Gold prices will rise as a result of the world’s easy monetary policy.
The continual decrease of the USD Index will increase the price of yellow gold.
The crisis caused by COVID-19 or local conflicts will push the gold price to a higher level.
The inflation crisis will cause the gold price to increase.
The escalation of geopolitical tensions raises the price of gold.
By refereeing to the law of supply and demand, a sudden decrease in the supply of yellow gold will increase the price of yellow gold.