Metals: Room to run
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
To follow up on yesterday’s piece:
Silver broke out to the flat side of the triangle; triangles like to break to the flat side. Silver is shown again below on the 4-hour timeframe. Yesterday I noted how momentum was turning up, as the price was preparing to break out. Now it looks like there is still quite some room for momentum to fulfill its natural upward path, along with price.
Note how the price back tested the breakout, as I suggested gold was doing on the daily timeframe, just yesterday morning,
Another look at gold on the daily timeframe below:
The breakout looks successful and bulls have the momentum with lots of room to push forward, in my opinion. A test of $2075 spot on the next leg up would not surprise me.
Thank you and good luck.