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U.S. Pulls Out of Iran Deal; Gold Fails At $1,318

Commentaries & Views

President Trump announced intentions to pull out of the Iran deal Tuesday, which caused some volatility in all markets. Equities whipped around only to close near the unchanged line. Oil got clobbered but cut most of the losses and is back on four-year highs, and gold failed at $1,318.

It’s obvious that gold has some issues to deal with and is headed lower. Throughout much of the recent uncertainty when gold should have been rallying, it has not. Gold has been consolidating the last week and once again failed at yet another attempt to break the recent downturn

One thing we know about all markets -- when they should be going up and they are not, that is an indication that there is more selling to come. Gold is in that category now. It should have been rallying but continues to show weakness, indicating that $1,280 is just around the corner.

Keep those stops tight.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.
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