This morning we are seeing lower prices in Gold, Silver and Platinum. This should not be a concern for traders or investors who understand how markets work. All markets move up and down, but often are trending, which is the case right now. Gold, Silver and Platinum trends are higher; selloffs are buying opportunities.
Starting midday on Wednesday sellers started to appear in Gold, Silver and Platinum, which we would call profit taking. The price action and the patterns look terrific and leave no reason that this rally is over. Although there could be some selling pressure over the next day or two the bigger picture is extremely bullish.
With the Memorial Day holiday this weekend, expect the trade to be slow and lack volume. Unless there is some technical damage, which we don’t see here, this should be a market to avoid and hold long positions. Gold levels based on August futures shows support down to 1875. July Silver 27.20 and July Platinum 1160.
We are long and look to get longer on these pullbacks, understanding that we are seeing the early stages of a new bull markets. Remember patience, discipline and money management are always the key no matter what you are trading.