Gold and Silver trying to breakout
Gold and Silver showing some resiliency this week as they both try and breakout to the upside. However, they both failed at key resistance levels that indicate there is probably more selling to come. 1490 February Gold and 1750 March Silver are the key levels to watch.
We certainly are not as bearish as we were, but we are still short. There is no reason to abandon our short positions until there is a confirmation of a reversal. In the last 3 weeks there have been two failed attempts to reverse trend and go higher.
Today is jobs Friday which could be a determining factor on where the metals go next. This report always causes some major movement. There could be enough buying power to breakout to the upside however no matter what we will not be reversing until Monday. In other words, we remain short until proven wrong.