Same Old Story
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Once again, we saw an instant replay in gold when it failed at resistance on Wednesday. At one point, gold had rallied over $20 and was trading around $1,369 before selling off and closing at $1,356.
The failure at resistance is disappointing. We are expecting a huge move in either direction. With Wednesdayâ€™s failure at the top, this now brings the downside into play. The selling continues this morning with gold trading at $1,348.
Gold is still trading on congestion; the big move is still in play. If gold could have closed above $1,365, the big move would have continued up, but now it can go either way. Now, $1,330 will be the key level on the downside, and inability to hold $1,330 would lead to the big move to the downside.