Loading ...Buying The Dips
In a bull market you buy the dips. The almost 4 month correction in gold and silver is over. The price action confirms it. Both last Monday and again today you had news about the Covid vaccines. That news led to sharp stock market rallies and subsequently sharp selloffs in gold and silver. Last week it took a couple of days to shake off the selling pressure and rally. Today the selloff was less intense and is already over. If a market resists going down, it isn’t too long before it starts going up. Especially, when you are in a bull market.
I can see a great resistance level up near 2000 dollars. But gold would have to move fast to get there and I am not sure it will happen quite so quickly. In any case if it breaks above 1923 it will take off like crazy (in my opinion of course!)
It really doesn’t matter to me how quickly it makes a new high. Probably not till early next year but what is important that it keeps making higher highs and higher lows on each of these swings.
Bad news, I just noticed something on the 5 minute chart. Gold is going to tumble. It fell too low around 7:00 am and broke the pattern I had been watching on the hourly chart. Sorry!