Tuesday 12 November 2013

Gold following Silver to the downside

The near term trend has been weak, and Gold has now followed Silver, in taking out the rising support from the June lows. Gold and Silver both closed lower by -1.1% and -2.9% respectively. Further significant downside seems likely in the weeks..and months ahead.


GLD, daily


SLV, daily


Summary

Suffice to say, the metals are indeed weak, with Silver leading the way lower.

With the mid term outlook on the weekly/monthly charts remaining deeply bearish, I expect the June lows to be taken out.
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mid targets remain GLD 105/95, with SLV 12/10.

*the lower commodity prices of course have serious implications for the miners, with the mining ETF of GDX similarly likely to break new lows.