What Happens To Gold And Silver Next? Look Out Below?

@northerncoins

It means that gold and silver are attempting to move higher in price and leave the range they were in last week.

I hope to get a quick chart or two thrown up today to illustrate what price is doing.

At this point, here are some important key things to watch after the gap up today.

1- does the gap up from today hold up? Many times these gap ups, and conversely down, dont hold and give up their respective moves.

2- notice how price is reversing today..... ideally for a strong gap up or down, in terms of price and for that move to really stick, you want to see it hold and not fade that day. So for today, if you want higher prices, you would want to see gold and silver close the day at the HOD, not the low end.

Pretty simple stuff. The gap, up in this case, would give gold and silver another range to build on and allow it to trade in a range before moving out.

more later, especially I hope to paint this picture with some simple charts.

yet another ugly day of price action for gold and silver.

Selling follow through, gold and silver breaking yesterdays low, indicative of lower prices ahead.

Clearly the move by gold and silver was yet again another fake break-out, hence why we take things level by level.

Frankly, I am not surprised by this price action. I have seen this before, same pattern. When its too fast, too much, in one direction and then doesn't settle down gradually, this is the end result, whether if price goes higher or lower. Couple that with the sentiment here where a few forum members were excited over the counter trend move and I just knew from experience we were going to see some volatile reactions and well,,,, we got it.


Erasing big moves in a matter of days is a classic warning sign to stay away from that particular asset. It needs more time to sort itself out and should be avoided like the plague, unless one enjoys being injured.

Whats key is that gold not give up its gains from 6/19 and the same for silver. IF they do, thats a major blow to anyone looking for higher prices.

sit back, be patient and just watch. We'll learn a lot if the buyers want gold and silver again at those levels.

couple of things-

gold, interesting to see the price action today. more wild swings but there was no interest in erasing that move from 6/19 so we'll see what happens from here, I'd say at this point we have a lot of resistance again, up above.

Finally, this article is being passed around and I thought the die hard gold bugs on this forum would like it. lol

http://goldchat.blogspot.com/2014/0...forming.html

To me, East, West, really doesn't matter. In the end, there has to be enough buyers or sellers to get me interested in the direction of any asset.

We just do not know what is truly going to happen.

Everything is all over the place.

The world has gone crazy!

And then this on Gold:

http://www.zerohedge.com/news/2014-...plete-charts

""London Fix" Gold Rigging By Bullion Bank Exposed In Class Action Lawsuit: The Complete Charts"

True - by time it is verifiable news, the market generally has it already figured into the pricing.

Can see on the silver chart above the listings is a solid red block for the last 4hrs from $20.60 to $20.50. Very strange looking indeed!

Have noticed the movement over the last week on the silver's chart has been very bunched up making the red line look very thick.