Gold still slipping? S&P and Bitcoin about to join the slide?
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
Thus far gold has failed to test the $1990 spot level I've talked about (chart updated below). This while momentum looks to be at risk of sputtering out before price has a chance to get there. I remain as cautious on gold as I have been the last few weeks, with a sharp eye on $1930.
S&P futures have finally reached the top of the yellow box I have been showing for months. Will the index get to the blue bar (originally shown last week) in the below chart? I was bullish in the fall and winter of 2022 as a contrarian. This weekend I read a few articles in mainstream financial media about how "wall street's biggest bears" have finally thrown in the towel. Some major institutions have revised their 2023 S&P targets higher (to 4500).
I am not saying that those same participants are on the wrong foot yet again, turning bullish at "THE" top – but perhaps just at a short term top. Friday's gap up could be a sign of short term exhaustion and daily candles are poking outside the top Bollinger band range. If you're a trader sitting in profit, taking some off the table would be prudent here in my opinion.
Bitcoin held strong through this weekend's volatility in the crypto market.
I am still eyeing that 25k level shown in the yellow bar on the above daily chart. In my opinion a breach below would open the door to 22,500, which corresponds to the 200 week moving average. That said; I remain bullish on Bitcoin overall. I think a dip to the low 20k's would be a buying opportunity for stackers.
Of course all eyes are on the FED this week – expect volatility.