Gold and Silver Continues The Spiraling Vortex of Doom

Posted on Jul 20 2015 - 6:22am by Sharpe Trade

Gold and Silver were beat down in the overnight like a red-headed step-child.  Silver reached $14.50 on the September Futures contract.  At one point, Gold traded underneath $1,100 dollars in the October contract, peaking below $1,090.00.  

Bulls are getting absolutely crushed for any belief in the support that had developed in the precious metals for the last 7 months.  The trend is down on larger time frames.  It flattened out there for a little bit.  But the trend has resumed it’s downward path.  Veterans of the markets know … this is what commodities do!  They explode in price, and then get crushed in just as spectacular a manner.

In 2009, the question on everyone’s mind was  “When does Gold cross above $1,000 an ounce!

I think today, the question beginning to form in the markets mind is … “When does Gold cross below $1,000 an ounce?

2 Comments so far. Feel free to join this conversation.

  1. Brian July 20, 2015 at 5:53 pm - Reply

    Such volatility in commodities. They can be great to trade, but it’s wild moves like this that make me imagine how these markets can whip you to death.

    By the way, Dan, do you trade bonds much in any way (e.g. directly, ETFs, futures)? It seems like people focus on more “exciting” instruments like currencies, commodities, and stocks. Bonds don’t come up much, but there’s definitely some action there, right?

  2. Dan Shy July 22, 2015 at 9:08 am - Reply

    Heyya mate …

    Oh yeah, I definitely use them. I’ll trade Bond futures, and will use bond exposed ETF’s for all sorts of portfolio ‘tweeks’ like stability, yield, etc.

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