Gold, Silver Could Separate At These Levels
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Featuring views and opinions written by market professionals, not staff journalists.
(Kitco News) - The metals have been under pressure since the end of November and have basically broken some very key levels from a technical perspective. The competition for alternative dollars has become fierce, especially now since major exchanges now have Bitcoin products, which is legitimizing the cryptocurrency.
With Coinbase.com opening over 100,000 new accounts in the last few weeks and the exchanges, coupled with the equity markets at all-time highs, there isn’t a lot left over for the metals. However, out of nowhere there are some interesting developments from the commercial world of investing.
Commercial banks notoriously known for holding massive shorts in gold and silver have suddenly started buying silver. This action may free up silver and bring new money into the market, indicating that the bottoms may be in. One thing is certain -- the risk versus reward favors owning silver at these levels