Gold Holds Perfectly
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Once again, the sellers tried to push gold through support, and quickly buyers stepped in and defended the $1,280 level. The levels have been solid and only the weak hands have been forced out of this very bullish pattern.
As gold continues to consolidate, the battle is on in what is the toughest pattern to trade. Consolidation, also known as the greatest time of uncertainty, causes the weak hands to panic every time support is tested, leaving those who understand the pattern and know that it’s a good time to buy.
We will remain bullish until gold closes below $1,280 for a couple of days in a row. We expect gold to break out to the upside, continuing the bullish action that was started at $1,180. Once gold can break through $1,300, our next target is $1,340.