Friday 8 May 2015

Awaiting the floor to be taken out

The precious metals of Gold and Silver saw a second consecutive week of gains, settling higher by 0.8% and 1.8% respectively. However, price structure since the Nov' 2014 low of Gold $1130 remains a very bearish H/S formation. The floor is set to be taken out in the near term.

GLD, weekly3

SLV, weekly


*I have been meddling a little in the precious metals this past week. Am currently holding short Gold - via GLD, across the weekend of May 9/10th... and look to remain broadly short all the way down to Gold $1000 (equiv' to GLD 95).

Little to add.

Metals continue to broadly struggle. The last two weeks of gains do not in any way negate the mid term H/S formation.. and indeed.. I expect that to be confirmed with a floor break within the next few weeks.

Targets remain...

Gold $1000
Silver $12/10

A key floor in the Aug/Oct' time frame... with a new multi-year up wave... as should be the case for the related mining stocks.