“Good is never accomplished except at the cost of those who do it; truth never breaks through, except through the sacrifice of those who spread it.”
John Henry Newman
Gold fell back from a challenge to its 100 DMA, and found support on the 50 DMA. In other words, today was a technical trade.
As I mentioned yesterday, this is an option expiration week for precious metals on the Comex, for the important February contract. So I think the game will be to try and scrape up some more deliverable gold, and knock down the open interest by giving the new contract holders a 'gut check.'
HSBC had 65,760 ounces of gold adjusted from storage to deliverable, so that brings the overall registered ounces of gold in the Comex warehouses to a still thin 439,000 ounces.
Silver has been lagging the gold rally and that is not constructive action. Today it was knocked back down to longer term support around 19.20.
Tomorrow is the end of the month.
Have a pleasant evening.
