23 January 2014

Gold Daily and Silver Weekly Charts - Do It To Me One More Time

Gold and silver had a nice upside pop today, running up to resistance on gold, and the miners finally showed some spirit.

Watching gold and bonds move higher in unison suggests that we were seeing either an asset reallocation out of equities, or more likely an old fashioned 'flight to safety.'

This precious metals market needs follow through more than ever, to break the downtrend which is an intermediate trend. We have some semblance of an inverse head and shoulders on the chart, little formations of them nested in larger formations, like fractals.

Let's see another up move like today's, and a few more times to confirm it.

There was no movement in the Comex gold warehouse, typical for the non-active month of January.

Have a pleasant evening.