Gold Gets Hammered “a funny thing happened on the way to a bull run..” By Todd Horwitz, Bubba Trading

 


The amazing thing we learn and experience in markets is the thrill of victory and the agony of defeat. On Wednesday Gold buyers looked in full control and were in the process of pushing the metal through resistance and starting the next leg up.

However, a funny thing happened on the way to a bull run and Thursday gold got hammered down almost 20.00. The action was really no surprise nor was the panic buying as the FOMO effect was in full throttle on Wednesday. We wrote that the rally should fail, and it did.

Gold is slightly higher early this morning, as I write it’s 4:00 am EDT. The facts are simple the metals are still in a big consolidation range and we expect breakout attempts in either direction to fail. Eventually this pattern will end but for now investors should stand pat and traders should look to sell the top end 1310-1320 and buy the bottom end 1280-1290.

Financial Markets and Political Commentary
 

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About the author

Todd Horwitz - Author of “Average Joe Options“. Todd began his trading career in 1980 at the CBOE. He was one of the original traders in the OEX & helped start the SPX. He is a member the CME where he trades S&P futures as well as foreign currencies & is a regular contributor to CNBC, Bloomberg, BNN, Fox & many other major news networks.