• 738 days Will The ECB Continue To Hike Rates?
  • 739 days Forbes: Aramco Remains Largest Company In The Middle East
  • 740 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,140 days Could Crypto Overtake Traditional Investment?
  • 1,145 days Americans Still Quitting Jobs At Record Pace
  • 1,147 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,150 days Is The Dollar Too Strong?
  • 1,150 days Big Tech Disappoints Investors on Earnings Calls
  • 1,151 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,153 days China Is Quietly Trying To Distance Itself From Russia
  • 1,153 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,157 days Crypto Investors Won Big In 2021
  • 1,157 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,158 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,160 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,161 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,164 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,165 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,165 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,167 days Are NFTs About To Take Over Gaming?
  1. Home
  2. Markets
  3. Other

The Big Golds - how far will they correct?...

A correction in the Precious Metals sector had been a growing probability as it had powered higher week after week. Now, last week's action demonstrates that it is upon us.

Gold did not break appreciably higher when silver broke out towards the end of January, and instead crept higher, held in restraint by a long-term trendline shown in the latest Gold Market update, before finally buckling last week, no longer able to stand up to the dollar's increasing strength, forewarned of in the Bin Laden article some weeks back. Gold has risen very steeply recently, and is running a huge gap between its 50 and 200-day moving averages. Common sense dictates that it is vulnerable to a significant reaction here, and should this come to pass a corollary of this is that the big gold stocks, which are still very overbought, could give back a sizeable percentage of their recent gains fast. How much? - the following charts are intended to give you an idea.

 

Back to homepage

Leave a comment

Leave a comment