Gold Price Reversal 'Was Fast And Furious' But Bullish Formation Remains
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
After spiking higher on Tuesday gold had a dramatic reversal. The range was $60.00 taking gold as high as $1,546 and as low as $1,488. The action was quite dramatic, and all happened within a 30-minute time frame. It was fast and furious before closing near midrange.
The reasons given for the movement was the pause in the China tariffs. More likely as we wrote yesterday gold was relieving the overbought conditions. The spike in gold the last couple of weeks needed to be resolved and it was on Tuesday.
Looking forward, expectations for gold and silver would be to trade sideways in consolidation before making the next run higher. Right now, our targets are for $1,600 Gold and $18.00 Silver. Both are in extremely bullish formations, add in global tension, currency wars you have the recipe for another run higher.