Pressure Is Mounting In Gold Market
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
(Kitco News) - After gold reached $1,326, the pressure has been on and gold is ready to test the recent lows at $1,302. It would be no surprise to see gold bounce off the $1,302 level, but breaking through $1,300 is almost a certainty in the current pattern.
The successive lower highs and lower lows indicate that the pressure is mounting on gold’s way to $1,280. Gold is just ugly right now and the added pressure from a strong dollar is just another excuse for the sellers to push gold lower.
Even with the recent pressure, gold has not yet become oversold, meaning a dead-cat bounce is not in the cards yet. We continue to observe waiting to see the action when the $1,280 level is reached. We are looking to be buyers at those levels, depending on the price action when $1,280 prints.