Gold Soars, Silver Shows Weakness
Monday was a crazy day for Gold, overnight soaring to 1691 before settling the day at 1661. We have written for weeks that the yellow metal was starting a bull market, add some fear and you get an explosion. Of course, cooler heads prevailed, gold was higher, but the crazy spike was over with gold giving back 70% of it’s gains.
On the other hand, Silver which also spiked to 6-month highs. The difference was silver failed miserably and printed lower prices on Monday before closing up very small gains. The recent strength will keep us long but with a watchful eye.
Markets that show weakness usually are weak, we can only account for silvers ugly action on the blow off high made overnight. Gold looks like there is a lot of room to run and should take out our next target of 1700 April futures. The bull markets has continued in gold, silver to hold 18.40-18.50 March Futures to join the party.