Short Term – Gold & Silver
Here is what I see for the rest of this week. Gold followed my outlook to blow thru the 1840 target and is now extended and overbought. The chart of gold gives us no real indication for what to expect in the short term. It can continue higher to the new targets of 1880- 1900 and 1920, the highest probability, for the rest of this week, based on what I see for silver. It also could just stall or pullback at any time given how extended it is on a short term basis. However, I don’t see it going below the strong support at 1840 so while I wouldn’t be adding to positions at this time, I would be if and when it gets to or below, 1840. Silver on the other hand, is showing a possible 3-1, 3-1, 3-1 pattern. Over the last eight trading days, Silver went up for three days, paused for one, went up for three days and paused for one, yesterday. If the pattern plays out for the rest of this week we could see today, tomorrow and Thursday higher with a pause on Friday. No guarantees, but that is what I am looking for unless I see something different develop. Targets are the the .50 cent increments starting at 25.50, 26, 26.50 etc. how much of a rally is undetermined but the pattern so far would suggest 26.50 by Thurs.
Of course, it’s Tuesday, so why am I not surprised that the banksters would orchestrate their usual “Tuesday Takedown”. I keep thinking that ONE Tuesday there won’t be one, but that is just wishful thinking. Let’s see how today finishes, before revising the 3-1, 3-1, 3-1 expected pattern?