Gold, silver and platinum look to be in trouble
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
It appears the churning of Gold and Silver is ending with the resumption of the downtrend. The inability to take out resistance is a clear sign that the buyers have failed to make room for the sellers to come in. There are no guarantees, but the price action suggests that will be the case.
Although we are long Platinum, the pressure is mounting there as well. It would be no surprise in the next few days to see the signal reverse and sellers to show in a big way. To be clear, we are staying long until the algorithm changes, but the price action suggests it could be soon.
Our current positions, short Gold and Silver and long Platinum will stay in place, but certainly, Gold and Silver are in a position to get ugly. The $1,800.80 low that Gold showed last week is in danger of being breached. Silver's downside target is $23.00.
As we have witnessed, anything can happen; however, price action is almost always right. All indications are that a big break is coming. Watch for acceleration to the downside to confirm the lower levels.
Here is the recording of Options Training Session 3 – The Next Step. We have also included a registration link for session 4 on Saturday February 5th at noon est.