Brean Murray Sees More Upside for Gold, Sets Buying Level

As gold traded down as much as $110 per ounce on the Comex earlier, Brean Murray Carret & Co. issued an outlook for the precious metal.

The firm said it has been eying gap support at $1,652 per ounce as "an ideal dip buy level for several weeks." With the Fed expected to keep rates low for the next several years, the firm added, "we do not believe the long-term uptrend in gold is over."

Brean Murray sees gold hitting $2,180 before hitting $1,552 quite easily, and recommended using recent weakness to "add or establish positions."

With the firm estimating a 6 percent risk for a 30 percent gain, watch for some buying pressure as investors move back in.

SPDR Gold Shares (NYSE: GLD) is over 5 percent lower on the session.

Below is Brean's chart analyzing the move in gold, and their key points:

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