Gold and silver have been consolidating and correcting since the earlier part of this month, having topped the 10th, 11th and 12th. It may have a way to go, but it’s getting closer to its place of price support, and perhaps, in another couple of weeks, or so, might get there.
I’m trying to discern when and where that might be. With silver, it would appear to be there just about now, but gold could still decline, on the GLD chart, a couple or three more dollars.
So, what did Tuesday look like? With a loss in the metals prices and red in my trading account… and, it still being summer. I’m going to go with low volume again, and the idea that we are still just correcting the last price run up, and are preparing for the next one.
Those that fell on light volume were: CDE, RGLD, SLW, SILJ, SGDJ, SGDM, AG, GDX, ABX, GLD and SLV.
We’ve got gainers on average volume, see: SSRI.
Losers on average volume: FSM.
Even decliners on big volume, as with: HL, PAAS and PVG.
Average volume was 21% lighter. So, it’s still pretty dead. Though, should silver’s support fail, and it’s really getting right there; should it fail, I would expect volume to increase… possibly even dramatically.
It’s time to watch more carefully, especially silver.
Here’s to your accumulation of real wealth!
Harold F Crowell