Gold and Silver – 28 Feb

 

OK, I’m back from a nasty 4 day trip and ready to rumble. Gold and silver both suffered a closing session whack job the Evil Empire. Nothing unusual there. As I write this, gold and silver futures are up and the after market reversed the games played on the Comex close. Gold is working sideways and consolidating the last move higher. I believe it breaks higher today and makes a run at resistance of 1423. support is still 1392. Stochastic is still embedded but heading lower to that critical 80 level. We need to see both lines stay above 80 to confirm accelerating strength. RSI is once again approaching over-sold indication at 66. Gold is still trending within the confines of the established trend channel and is telling us the trend is your friend.

 

Silver is still the stronger chart. As I thought last week, the big red candle was only establishing a swing low that would serve as a stop loss for further long trades. This has emboldened bulls to enter fresh positions. The move is on to take out 34.31 and will lieky happen today. Next stop 35. RSI is back into over-bought territory at nearly 71. while stochastics lost embedded status, 3 days above 80, it is looking to regain it at 77. Support comes from the swing low at 31.74. I cannot see a reason to jump from the silver express.

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