Gold Reversal. Right now, our targets are for 1600 Gold and 18.00 Silver. By Todd Horwitz, Bubba Trading.

 


After spiking higher on Tuesday gold had a dramatic reversal. The range was 60.00 taking gold as high as 1546 and as low as 1488. The action was quite dramatic, and all happened within a 30-minute time frame. It was fast and furious before closing near midrange.

The reasons given for the movement was the pause in the China tariffs. More likely as we wrote yesterday gold was relieving the overbought conditions. The spike in gold the last couple of weeks needed to be resolved and it was on Tuesday.

Looking forward expectations for Gold and Silver would be to trade sideways in consolidation before making the next run higher. Right now, our targets are for 1600 Gold and 18.00 Silver. Both are in extremely bullish formations, add in global tension, currency wars you have the recipe for another run higher.

Todd Horwitz
Chief Strategist
BubbaTrading.com

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.