Gold jumps for the 9th day in a row, with over 20% gains
|Gold
- Gold rises for the 9th day in a row, with over 20% gains.
- On Tuesday we hit next targets of 5128/5130, 5145/46, 5165/68 & ran as far as 5234.
- Yesterday we hit all targets to 5310/15 & ran another $280 for a new all time high at 5591.
- I am a trend follower and this strategy has kept us long in Gold for the whole move, while most other retail traders are trying to pick a top in the market & adding to the short squeeze conditions.
- However this parabolic move cannot be sustainable.
- It feels like the last desperate buyers or shorts getting squeezed out before an inevitable collapse.
- But to pick a top would be incredibly foolish - this market could continue higher & there's definitely no sell signal.
- Targets are 5731/35, 5765/70, 5795/99, 5820/22.
- If we continue higher look for 5838/41 & even 5880/5890 is possible.
- If a collapse does get triggered, I am not expecting a warning, but do watch for bearish engulfing candles on the H1 & H4 charts.
- Any sell off today meets support at 5110/5080 & longs need stops below 5030.
Silver
- Silver held above 106.50/106.00 to trigger a retest of the new all time high at 117.69 exactly as predicted.
- Yesterday's break below 112.50 triggered the expected move to my downside target of 111.20/110.70, with a low for the day a fraction below at 110.48.
- We climbed steadily from here & the break above 117.69 has triggered a new buy signal, targeting 119.80, 121.20, 122.20, 123.30, 124.90.
- However bulls must hold prices above 116.10/115.50 to remain fully in control today.
- Longs need stops below 114.50 & a break below here would risk silver establishing a sideways consolidation in the days ahead.
- At this stage it could trigger losses towards 107.00/106.00.
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