Gold may have found a bottom
Monday the metals had some very good price action which may indicate the bottom is in or close. The reversal made from the lows was a good start. However, that doesn’t change our views but is sending potential warning signs.
Yesterdays price action could have been a false move and the selling could continue or it is the bottom. This will play out over the next several days and the pattern will give us the answer of the next big move.
We will remain short but will not be adding to our shorts until we can confirm the upcoming price action. Remember that price always determines the next move, price is king. Monday’s trading could be proven as false and the downtrend resumes, or the bottoms are in. Observation is the key here.