Look For Small Sell-off In Gold
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(Kitco News) - Based on the recent trading action in gold and the way the technicals are setting up, we would be looking for a retest of $1,300. The failure at $1,320 and the constant churn indicates a pullback.
This action, should it occur, is actually bullish for the longer-term price action and should lead to a run to retest the $1,350 level. Patience in these patterns is always the key element that most traders and investors forget in the heat of the battle.
The longer that both gold and silver can hang in these patterns, the more bullish they become. They appear to be refueling for the next move to the upside, making us buyers on dips and support, which is now $1,300. It is important that traders and investors understand how markets work and leave their emotions at home.