The metals are seeing some volatility the last few days much like the rest of the markets. Over the past few days, the trading ranges have widened which just opens the door for a bigger sell off.
After the heavy selling pressure overnight Sunday and the subsequent bounce, they are having now is more of a dead cat bounce in a downtrend then a reversal to the upside. This rally should be considered a selling opportunity should Gold reach 1860 and Silver 26.00. Platinum remains in an uptrend and has bounced from support.
If you have been watching the patterns and the price action, the signals are very clear, the trend is down. When trend trading all actions should be based on the prevailing trend. In other words, until the trend reverses, which it will at some point, we are sellers.
Remember, mechanical algorithmic trend trading leaves no room for interpretation of the rules, leaving us short Gold and Silver until that trend changes. Our methods are correct 66% of the time which leads to long term gains without news, opinions or emotions.