Trader after trader have always been tortured by the phase of market consolidation in any market, today the metals continue to churn in that very pattern. Consolidation is also known as the greatest time of uncertainty, as of now Gold, Silver and Platinum are all in that phase.

We are trend traders with the idea of trading the direction of least resistance, as of today that is short. However, that does not mean we do not emotionally suffer from the same thing as other traders, it is a pain. It does not change the overall direction until the upside resistance is violated.

This morning Gold is charging higher up 11.00 while Silver and Platinum are trying to join without the same strength. Based on the longer trend we expect the breakout to come to the downside. Based on the current pattern and consolidation range, nothing with reverse until December Gold closes above 1900.

No one said trading was easy, but we do know that with a solid set of mechanical trading rules, you can survive it all. We will stay short without panic or fear and let our rules and algorithm lead the way.

Todd Horwitz Chief Strategist
Stop being a prophet and make profits

Futures and Commodities with Andy Hecht and Technomental: Our webinar on Saturday was fantastic, here is the recording

Saturday Recording: 2020-11-07 Techno Mental Futures and ETF Recording