This morning Gold, Silver and Platinum are up nicely, the bigger question: Can the rally hold? That is an answer only fortune tellers, Prophets and self-proclaimed Gurus can answer. From a basic technical view of the markets, my question about the rally: is that all?

Gold which has been weak since the beginning of the year is due a rally based on the recent speed that took April futures to 1673. Is it possible the bottoms are in? The simple answer is, could be. Looking at Gold without opinion or emotion, a rally was coming without question, there is a high probability this is just another selling opportunity.

We all know that people who play the markets get far too emotional about certain products, Gold being one of them. The trend is lower, there is huge resistance at 1725 (we would sell more there) and until Gold can sustain any positive momentum, its going lower. Its that simple.

Although we are short all three, Gold is the weakest followed by Silver which has gained downside momentum. We are sellers of every rally that reaches one of our levels until the trend changes. Looking years down the road the metals will be much higher, but here and now, sell until the trend changes.

Todd Horwitz Chief Strategist
Stop being a prophet and make profits

Last Saturday Andy Hecht and Todd “Bubba” Horwitz presented TechnoMental Commodity Report. Recording below:

Recording: Andy Hecht and Bubba present the TechnoMental Commodity Report