In a nutshell, the door is still open for a move to the big resistance zone of $4800-$5000, but a short-term pullback could see gold fall 5%-7%, with silver and GDX dipping by 10%-20%.
Ira Epstein discusses the current trends in the metals market, focusing on gold's rise above the $4,700 level and silver's struggle to breach the $70 mark...
The rally was triggered by the U.S. Treasury's surprise announcement of ramped-up buybacks of long-dated government debt, which sent the dollar lower, a tailwind for gold.
Gold rose 5.6% this past week to its best levels since May. We broke out over $4,500 and appear to be holding above, thus confirming the recent low at $3,941.
The smaller gold miners just reported their second-best quarter ever. Despite gold’s serious reckoning in Q2 after its late monster record bull, the miners continued earning money hand-over-fist.
Ira Epstein covers the current bullish trends in the metal markets, highlighting significant gains in gold, which is up 3% for the week, and silver, which is gaining against gold.
