Gold holds while silver selling off
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Gold continues to hold the support level; each time is has sold off to support, new money buyers have come in and bought. Meanwhile, silver appears ready to break down. We are almost at the point of shorting silver and buying gold.
At this point, we would expect to be short silver and long gold. The next key level in March silver is $17.50. Gold continues to hold the $1,550 support level as witnessed through the last trading week. The levels in April gold are $1,550-$1,565 and March silver $17.50-$17.90.
Both gold and silver are at key levels and both could go either way; for now, it looks like higher gold and lower silver. The big issue here is the lack of volume in both metals. We are long gold but will reverse on the next down day below $1,550.