Bouncy Precious Metals And Other Weak Markets About To Reverse

I was away last weekend…so there was no weekend letter.  However, the setup for lower moves in metals failed…and we are now moving up to resistance levels I outlined a few weeks ago

Markets were hit extremely hard Thursday and Friday, actually the largest down-day we’ve seen in four years.

My subscribers and I are in cash…and have been mostly for all summer as we wait for setups, while taking advantage of a few trades that pop up here and there. Consequently, we are in good spirits.

Half the battle is waiting for the right setups…and not forcing trades by jumping the gun.

Keeping your trading stake whole, rather than getting chopped up is key to survival and essential to growth in the game of trading. If you’ve been hurt, consider my help at www.wizzentrading.com

We should be seeing some strong bounces in this week ahead…and I plan to make some quick, good money.  So it’s a great time to try out my nightly letter.

Gold smoked to the upside by 4.20% last week as other markets were hit hard.

The gold price is now near resistance levels at $1,160, $1,170 and $1,180…so locking in gains from the $1,100 buy area is now prudent.

We should now see some consolidation. However, I still do not think the major low is yet in place, which means the dominant trend remains lower.  Ergo, we are still on track to hit a major low around $1,000 by yearend.

Silver gained 0.69% this past week, thus acting much weaker than gold. Last Tuesday saw gold hold well, while silver fell and was signalling a drop for the metals…or so I thought, but gold ripped higher and silver is now trying to play catch-up...but not doing a good job.

Silver and gold are not confirming the strength…but that is to be expected with gold now at resistance.

It appears silver doesn't want to move above $15.50…so look for chop between $15.00 and $15.50, while gold builds out its chart.

Platinum gained 2.79% last week -- and is also now looking to form some consolidation. $1,040 is resistance and support sits at $1,020 -- as well as $1,000.  Therefore, I’d look for a chop between the two extremes with $1,020 a pivot area.

Palladium lost 2.41% last week as it remains in the range between $590 and $630.

In the week ahead I’m looking for precious metals to end the run…and begin to consolidate. Meanwhile,  we should see a large bounce in the stock markets. Furthermore, I’m planning to take advantage of that in a big way, if it comes. Nevertheless, if we continue to fall, I’ll continue to sit on the sidelines.

******** 

In my free, nearly weekly newsletter I include many links and charts which cannot always be viewed through sites which publish my work.  If you are having difficulties viewing them please sign up in the right margin for free at www.wizzentrading.com or send an email to [email protected] with “subscribe” as the subject and receive the newsletter directly in your inbox, links and all.  If you would like to subscribe and see what my portfolio consists of please see here.

If you found this information useful, or informative please pass it on to your friends or family. 

Free Service

The free weekly newsletter “Wizzen Trading” does not purport to be a financial recommendation service, nor do we profess to be a professional advisement service.  Any action taken as a result of reading “Wizzen Trading” is solely the responsibility of the reader.  We recommend seeking professional financial advice and performing your own due diligence before acting on any information received through “Wizzen Trading”.