Gold and Silver Having a weak rally
After getting pounded four of the last five days, gold and silver and having a meager rally this morning. Other than a dead cat bounce we see no reason the metals should see a major rally. The simple facts until proven otherwise rallies are meant to be sold.
The facts are simple the metals are headed lower and have met most of our downside objectives. After trading 1460 last week based on December futures, we now have lower targets at 1440 and 1400. The metals should consolidate at these levels before taking the next leg lower.
The footprints are clear the trend is lower, the news and opinions are worthless. The metals are heading lower and should reach our downside targets before turning around. We expect a couple of big selloffs but the ending will probably come off of a panic bottom which we have yet to see.