None of which argues that stocks cannot continue to climb heedlessly. It's not as though it takes bullish buying or even real money to make this happen. To the contrary...
What tends to happen in these situations is stop losses are triggered and positions are liquidated, overshooting the move. I doubt the correction will be over until the uptrend line is broken..
I am not convinced that if you get to a debt-limit deal, that you can get this by June 1. Nobody is going to agree to a long extension. Gold down nearly a $100 from its recent near record highs. Silver cracked.
While debt, war, de-dollarization, the Fed, and new Chinese gold-linked bank accounts get the headlines, investors should also stay focused on key oscillators, support and resistance zones for gold..
In April, China increased its gold holdings by about 8.09 tons, bringing the total to approximately 2,076 tons, following a 120-ton increase in reserves in the previous five months.
Gold is fighting a huge battle! Gold on a closing weekly basis is above it... by $5. Market has a bullish higher lows and higher highs, good. Overbought in an uptrend. This is what bothers me..
