Gold and Silver bouncing this morning
The short term down trend in metals continue, gold and silver bot failed last week at resistance. Friday saw some heavy selling early before rallying back cutting their losses in half. This morning metals are slightly higher but well-off Friday’s highs.
The recent downtrend has created a new resistance level at 1510 gold and 17.80 Silver based on December futures. There is no reason to believe that the metals will turnaround anytime soon and we expect the selling to continue.
Like all markets gold and silver should follow the footprints that have been established over the last two months. We have targets of 1440 -1460 gold and 17.00 silver. There are targets below those levels but we continue to watch one level at a time.