Now that we have a few more data points I adjusted the green 'parabola' which marks what is essentially an inverse head and shoulders formation developing in the gold market. We will look to see if the formation holds and is confirmed by gold breaking out above the neckline which is around the 1450ish area.
Silver is resilient, but as those of you who hold positions, particularly in the miners, the intra-day volatility can be fairly breath-taking.
The G7 will be meeting this evening on a teleconference to discuss the markets and the impact of the Japanese and Middle East situations on them. I expect interventions to be readied, but not necessarily unleashed tomorrow unless things are much worse than we realize.
Options expiration will become more of an issue later this month. For now the focus is on the delivery of March silver at the Comex, and the anticipation building in the April contract.
