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Gold, silver and platinum all look bad

Commentaries & Views

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.

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.