Gold as well as silver should do very well in the coming weeks and here's why
1) Precious metals are in a bull market so trend is your friend; buy every dip 2) A breakout has taken place after forming a proper inverse H&S pattern; this is just a re-test (see related ideas) 3) Cyclicality says that gold has fallen into its cycle date ~dec 8th so could turn around from here (this is the chart above)
TAKEAWAY: - as usual a catalyst should show up to justify the moves in the near future; my guess is it could be cyber related - my first target is 175 and second target is 178 on GLD
GLD/SLV ratio looks to be double topping at resistance. I like them both for a long trade after the drubbing over the last few weeks.
adnanlarribi7
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Hi
TomNewYork
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I have been trying to be bullish on gold too... But there are three huge problems...
first is the US Dollar index... continues to look very strong and I can make arguments on the longer term charts that 100 is in the cards and even 120... where will gold be trading under that scenario ??
second is that it seems like almost everyone is talking about the huge inverse head and shoulder pattern in gold price...... but on the log long term chart i can say that gold has double topped and could head back down to 1000 ( i know that sounds extreme)
and last is that we are seeing SILVER break key support which is concerning.... not that silver is supposed to lead gold but it is a concern and could smash down gold....
extreme caution advised !
markethunter888
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@TomNewYork, i definitely see your viewpoint and if it falls any lower then i will question my thesis. I think market is seriously testing the weak hands and I most definitely don't want to be fearful and cut my longs