The Perfect Time to Invest in Gold based on 25 Years Data, Price Volume & Targets

Take a look at the annual seasonality chart of Gold for the past 25 years below.

Gold Annual seasonality for the past 25 years from Seasonax

Generally, Gold forms a bottom in November and starts to rally up in December all the way till February. Since this is an annual seasonality chart, it does not mean every year Gold will behave as per the chart above. Rather, it means that Gold tends to perform in this seasonal pattern based on averaging the data for the past 25 years.

Next, let’s visualize the current context of Gold together with the performance of the identified bullish season (from Nov-Feb) in the monthly chart below:

Since Gold hit the peak at 1923 in 2011, it had a sharp selloff to 1100 and consolidated between 1050–1400 for 6 years (2013–2019). After that, Gold broke out from the accumulation range with a sign of strength rally and hit all time high closed to 2100 followed by a backup action to 1700.

This multi-years formation looks like a cup and handle and we can further divide into 3 trading ranges (boxed up in blue) and two trends (boxed up in pink). Obviously, from 2011 till now (2021) Gold is not in a clear…