Gold Price Shows Strength
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Like a broken record, once again gold and silver held support. Both were under pressure on Wednesday before closing about their key support levels. This is really no surprise and from a technical level is more bullish action for the metals.
Although the bull’s expectations are that gold and silver never go down again, the action shows a lot of strength. As we continue to write on a daily basis, we expect the rally in gold to continue and take these sell-offs as opportunities to be buyers. Our only concern will be if gold closes below $1,320 and stays there for a day or two, showing a breakdown.
Until proven otherwise, gold and silver are going higher and dips to support should be bought, as $1,400 gold and $17 silver are in the cards sooner rather than later. The churn on consolidation can last longer than we think, but the key is to hold support. Gold and silver holding support suggests higher prices, which we expect to see continue, with gold closing above $1,350 and silver above $16.