Gold off to the races
By Todd Horwitz
Gold and Silver are taking off to the upside. After struggling for months, the metals seem to have found their bullish footing. For the past 3-4 weeks gold and silver were showing some bullish footing, this week they finally broke out and look to be ready to test the highs.
Markets trade in three basic phases, consolidation, trend and blow off. After sitting in a downtrend for months the metals found the consolidation pattern and now have broken out forming what appears to be a new uptrend. The power of the breakout should certainly take the metals to the recent we saw in late August.
Based on out algorithms and the chart formation, gold and silver could have a long way to run. The trend is now higher, and this rally could gather steam going into the new year. We are long gold and silver and expect an extended run higher.
Todd “Bubba” Horwitz