Gold and silver pass tests, rally exploding
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Gold, silver and platinum have passed the test of levels and got through with flying colors and higher prices. They are now set to test the next resistance levels. The price action has been very strong, more importantly steady.
Many will talk about the news as the driving factor for the recent rallies. We will say that this rally began long before the news of Russia/Ukraine and the other news items. In fact, the price action told us something was happening and to expect a move.
How far can this rally take the metals? Gold is on target for new all-time highs. Silver’s next level is $28 and platinum $1,300. There will be some pauses in the rally where we will see minor selloffs, but prices are going higher. Until further notice, all dips to support should be bought.
Precious metals should be owned on a physical basis with capital that is not needed tomorrow or anytime soon. Trading should be done with paper, knowing that we can trade either side without emotions.
In all markets, price action determines what will happen in the next day, week, or month. Keep the two strategies separate. The worst trade anyone can make is turning a trade into an investment hoping for a way out. Traders must learn to take their losses and move on to the next trade.
Patience, discipline, and money management always win the day. Let the map of the markets show you the way.
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