Gold and silver no changes
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Gold and silver showed a little resilience on Tuesday recovering losses after being down big earlier in the day. They are now in a consolidation pattern deciding on which way they will breakout on the next big move. They can go either way from here, but the odds suggest they will break to the downside once again.
When watching patterns develop, we are always watching the phases of the markets. The consolidation phase which are in once again suggest a move is setting up. Based on the facts we can see the information available the breakout should be to the downside.
At this point there is no reason to expect a rally, but that doesn’t mean there won’t be one; we are playing the probabilities, which suggest the metals are still headed lower. We will remain short and look to sell rallies until further notice. It’s that simple, if the probabilities shift, we will switch to the long side.