Contributed Commentaries
Gold, silver and platinum consolidating
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Stop being a prophet and make profits
The metals are in a consolidation pattern, which is known as the greatest time of uncertainty. Consolidation is one of the phases that markets trade. It always precedes the next big move. In Gold and Silver, we expect the next move to be lower.
As we wrote on Monday, Gold and Silver are in downtrends. The attempt to recover from last Friday’s collapse has been weak and without conviction. This is a natural part of a trend change and should lead to a much bigger sell-off. Our first targets are April Gold $1,820 and then $1,800, March Silver $24.5 and then $23.
We remain long Platinum, short Gold and Silver. Platinum is also consolidating with upside targets for April at $1,100 and then $1,120. Remember, markets can reverse the trend at any time. We are only trading a probability model that has a 66% edge.
There are no guarantees in trading or investing, but if you continue to play the highest probability with money management, you can find success. If you are stubborn and fighting the trend, you will lose. Trading is strictly a probability-based model without opinions or emotion. Trade the news you lose.
Here is the recording of Options Training Session 1 – The Basics. We have also included a registration link for session 2 on Saturday January 16th at noon est.
2021-01-09 Recording: Options Training Session 1
2021-01-16 Options Training Session 2 Register here
