With gold rising $10.10 today, and silver tacking on $.13, the very recent price correction may have completed, and been just as short and as sweet as I had suggested it might be. Predicting, especially the future, can be so hard… so, I just try to look at price and volume try to figure what they are presently trying to ‘say’, and go with that. Since the price of the metals was up, but had not yet broken out into a new high, one would expect that, since I know the mining share prices were up… I would think that volume might be average to higher, if the anticipation is becoming that this correction is ending, and a breakout over $1,300 gold is looking more probable. What do the charts say?
Those that lifted on big volume today were: FSM, HL, IAG, KGC, AG, EXK, AUY, AGI, NGD, AU, SA and GDX.
Others did so on average, or lower volume, like: RIC, CDE, PAAS, ABX, SGDM, RGLD, SLW, SLV and GLD.
Hmmmm, tough call. Where we have the metals rising today, on relatively light to average volume, the energy to breakout is not yet showing itself. Volume in the metals ETFs would be expanding pretty well. Then, on the other hand, we find 12 of the 20 mining issues rising on some pretty hefty volume, and FSM and IAG even closed at new highs on big volume. Some excitement and anticipation surely exists… and, it’ll have to wait until next week to be fulfilled.
So, let’s see what’s going on overseas Sunday night, and Monday morning before our markets open. Until then, have a blessed weekend and Mother’s Day!
Something’s up, as gold is taking it on the chin just since Sunday night. It’s off more than $14 as I write at 8:00 am EST. The reason? The dollar just broke back up through that key 94 recently broken support… that has just now become a newly broken resistance level!
Here’s to the accumulation of real wealth!
Harold F Crowell