Gold finds resistance, Silver and Platinum remain weak

On Monday equities got pounded from the open to the close, Treasuries exploded like never before and the metals were mixed. Gold exploded making a high in the overnight session of 1707 based on the June futures. The move was fast and once the panic subsided gold came down almost as fast as it had risen indicating a temporary top.

Throughout the gold explosion, silver and platinum were extremely weak. Although both were higher during the session they weakened to be down on the day. We continue to see weakness in silver and platinum remaining short both and willing to add. Until further notice we will sell silver and platinum at resistance levels.

On the other hand, gold showed a little weakness but is firmly in an uptrend and should continue to hold support. We expect a pullback in gold to 1640 -1650 levels where we will add to our positions. Its clear the metals are headed in different directions for now.

 Todd Horwitz