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Gold and Silver Testing Support

Commentaries & Views

In the worst kept secret, gold and silver both tested support on Monday. The pressure was on from the opening bell, the metals were selling off which was a continuation of the selling that started Friday. Both gold and silver closed near support and are slightly higher this morning

With the equities exploding higher, bonds getting crushed and the dollar making highs the selling was no surprise. The metals are near levels to buy which is $1,500 gold and $16.90 silver.

There has been no technical damage to the charts or the patterns. Nothing has changed in the overall world economy. Friday and Monday were simply a profit-taking sell off which was expected after the huge rallies they have seen. Remember no market goes straight up or straight down. Look for the metals to consolidate around the support levels before resuming higher. We are targeting $1,600 gold and $18.00 silver.

Disclaimer: The views expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure accuracy of information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. It is not a solicitation to make any exchange in commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article do not accept culpability for losses and/ or damages arising from the use of this publication.