The grind in Gold continues and the inability to break to the upside persists. Gold continues to struggle to break above resistance with the bulls trying to wish it so. One thing everyone must learn about markets, you can’t hope and wish them higher, price action is always the determining factor.
Silver continues to be weak, even with the rally the last couple of days. With Silver at 23.71 based on December futures, there is a better chance to see 22 than 25. Remember, that can change if the price action suggests a reversal. Until then, selling every rally in Silver is the play.
We should all recognize that over time Gold, Silver and Platinum will rally; they will all make new highs someday. However, based on the current action that day is not today, nor is it in the near future. Those calling for the metals to explode anytime soon are guessing and hoping to get into your pocket. Price determines price, it’s that simple.
In all markets, price action determines what will happen in the next day, week, or months. Keep the two strategies separate, the worst trade anyone can make is turning a trade into an investment hoping for a way out. Traders must learn to take their losses and move on to the next trade.
Patience, discipline, and money management always win the day. Let the map of the markets show you the way.
Todd Horwitz Chief Strategist BubbaTrading.com
Stop being a prophet and make profits