Today was an interesting day for Gold. We capitalise the word Gold because we think ‘Old Au’ is going places and soon.
Precious Metals trading Monday saw spot gold close at up $10.50 on the day, having bumped up to $1,763.53 in trading. Is this the breakout many have been waiting for? Technicals say probable, but the power of the short traders always holds a great deal of short-term sway, no pun intended. The demand for physical gold is higher than it has been in a long, long time and it is very possible the shorts are now getting caught, which could vault gold to over US$1,800/oz in the near term. Many analysts have projected that $1,800 this summer is almost a certainty and that gold will hit record highs in the months and years to come.
Silver has been performing strongly in the past week, as well, hitting a high of $18.03 in today’s trading, closing at $17.68. That possible $18.00 breakout level is terrifying the shorts, as well. We want to see.
More to come as we watch the precious metals market closely this week.