Cramer is ‘spot on’ about buying gold, and may rally 10%: Analyst

“From our perspective I think we could see some weakness in the dollar in here given that the [Federal Reserve] might be less hawkish going forward, and that might be really the underlying driver higher as to why we’ll see the gold prices go higher,” said Johnson.

The U.S. dollar and gold prices typically have an inverse relationship, in which one falls as the other rises. Bullion tends to get a bid when the greenback falls, as it becomes a cheaper commodity to investors trading in other currencies.

However, not every market watcher is as enthusiastic about the gold trade. Erin Gibbs, portfolio manager at S&P Global Market Intelligence, said the gold rush may be fading.

“I don’t see it ending just yet, perhaps not before the end of the year but certainly as we get into 2019,” Gibbs said on “Trading Nation” on Friday. “A lot of the concerns that we have – tariffs, Brexit and so on – as those dissipate and we really start looking at the fundamentals again, this could very swiftly be undone.”

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