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Contributed Commentaries

Gold hits $1850, what's next?

Jonathan Da Silva

Kitco Commentaries | Opinions, Ideas and Markets Talk

Featuring views and opinions written by market professionals, not staff journalists.

Commentaries & Views

Spot gold tagged $1850 overnight before recovering to where it currently trades at $1863 as of this writing. The downside danger in gold is a move to $1820 in the coming days following tomorrow's FOMC meeting. Platinum continues to trade up today on an intraday reversal yesterday following bears' failure to close it under $935; The $960 target on Platinum is now realized.

The move to 85 we had suggested was probable on the gold-silver ratio is very close to completion. Will it hit 85 and reverse following the rate hike?

The S&P 500 finally challenged the winter low yesterday but reversed and closed above it. A capitulating flush following the FOMC may also occur in major US indices. Traders should continue to anticipate heightened volatility as we approach what could be a great buying opportunity.

Thanks and have a great day,

By Jonathan Da Silva

Contributing to kitco.com

Contact jdasilva@kitco.com
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.