Analytical Charts - Jim Wyckoff
Gold Has An Urgent Feel Around It
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
(Kitco News) - Gold pushed through resistance yesterday and flirted with the $1,350 level overnight. The gold market has a frenetic feel, which is not justified by obvious fundamentals. Although it is likely that the Fed minutes will continue to show a dovish/neutral stand and that should cap further dollar strength, the other central banks are certainly in the same mindset if not even more dovish. The Brexit issue is certainly a serious event but still some five weeks out and the equity markets, albeit overbought, remain somewhat stable. Maybe the smart money is seeing an imminent crisis. We prefer to watch at these levels and look for the break above $1,365 to confirm further acceleration to the upside. A break of $1,350 should produce this test. Prefer to leave some money on the table and have the market confirm the next pulse, which if successful on a break above $1,365, suggests a $1,420 target.