Friday, June 18, 2010

BREAKOUT

We may see gold breakout of the triangle consolidation today. However I don't think one should expect gold to just "runaway". It is late enough in the daily cycle that we have a short term correction coming due soon. It's probably more likely that gold breaks out, then re-tests the breakout level at $1250.


I'll have more in the weekend report of what I think is unfolding in the precious metals markets.

2 comments:

  1. There are 2 gaps in GDX with low volume. Remember read about you writing before and mentioned the gaps in GDX with low volume could be prelude to market correction soon. What is your take on this 2 gaps in a row with low volume? Enjoyed reading your blog. Thank you.

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  2. Most gaps do get filled. However there is a gap between 44-45 that will probably never get filled. So I wouln't bet the farm on a gap fill.

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