Gold, silver and platinum all look bad
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
The struggle continues for gold, silver and platinum. The patterns across the board all look the same choppy and like the recent rallies are over. In other words, they look to be headed south and could accelerate to the downside unless they find some support soon.
Full disclosure – we are long all three but very uncomfortable holding in the short run. This is the time to identify who you are. If you are an investor in the metals, there is nothing to do but look for opportunities to buy at lower prices. If you are a trader, you are looking for the path of least resistance to take a short-term benefit.
Although we are long both at this point as a trader and investor, the choppy conditions could lead to a reversal to the short side as a trader. We will make no adjustments to our positions today; however, if June gold closes below $1,600, May silver below $14 and July platinum below $700, we would be reversing. For now, we watch the sloppy, choppy conditions and watch our levels.